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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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  • E-Co Energi, a Norwegian energy group owned by the City of Oslo, has signed a new Nkr2bn ($357.7m) loan facility led by bookrunners and co-ordinators DnB NOR and Nordea.
  • The European Bank for Reconstruction and Development (EBRD) and the International Finance Corporation (IFC) are supporting an ‘A/B’ structured loan of Eu73.3m to Romanian wind farm firm Pestera Power.
  • Rabobank has completed the limited general syndication of £105m of senior loans backing the LBO of RBG Group from 3i by Stork Technical Services and Arle Capital Partners, with the books closing oversubscribed.
  • French advertising firm Publicis (Baa2/BBB+) has signed a Eu1.2bn five year revolving credit facility to replace a line arranged in 2004, increasing the size of the deal from Eu1bn after it was oversubscribed in syndication.
  • Erste, RBI and UniCredit are arranging Eu146m in senior secured debt to support the acquisition of Provimi Group’s pet food producer Provimi Pet Food (PPF).
  • Some 24 of BHP Billiton’s relationship banks have been invited to join loans backing the Anglo-Australian mining firm’s takeover of Petrohawk Energy Corporation, as some observers called the club deal structure an “opportunity missed”.