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Leveraged Loans

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Despite the allure of lower loan prices, CLO managers should print deals cautiously
Software loan sell-offs and the Iran war have caused US and European loans to price differently
Leveraged loans in stressed sectors like software carry refinancing risk
LBO financing includes $5.75bn term loan to be priced early next week
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  • French video games maker Ubisoft Entertainment has increased the size of its revolving credit facility from the €180m at which syndication was launched to €214.5m, after the loan closed oversubscribed.
  • French construction and concessions group Vinci has signed a new €1.785bn five year syndicated loan for its subsidiary Autoroutes du Sud de la France (ASF), the motorway operator. The new loan will replace an existing €2bn loan signed in 2006 that was due to mature in December 2013.
  • South African mining firm AngloGold Ashanti has stretched out the tenor of its revolving credit lines after announcing a $1bn five year revolving credit facility from 15 banks on Monday.
  • Russia’s push for a fully functioning domestic syndicated loan market has edged forward after banks agreed to discuss a 70 page paper that will form the basis of standardised loan documentation in the country.
  • Deceuninck, the Belgian PVC window manufacturer that went through a debt restructuring in 2009, has signed a €140m five year senior loan with five banks.
  • Turkish power firm Enerjisa has overcome the loss of mandated lead arranger WestLB and is hoping to sign its €750m 12 year project finance facility in the next three weeks.