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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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  • Russian oil firm Tatneft is set to sign a $550m three year club loan that has an innovative structure that borrows elements from the bond market and has a fixed rate margin of 350bp.
  • Belgian cable firm Telenet has launched an exchange offer for the term loan ‘G’ of its senior credit facility as it looks to extend the maturity of its debt.
  • Israeli drugmaker Teva Pharmaceutical Industries has signed loans totalling $4bn to part-fund its $6.8bn takeover of US pharmaceutical credit Cephalon.
  • Development and investment bank Turkiye Sinai Kalkinma Bankasi (TSKB) has signed a Eu95m and $5m one year loan with a group of 10 banks.
  • UAE telecoms company Du has signed a $220m three year term loan with a club of regional lenders. The bullet loan pays a margin of 145bp.
  • African mobile operator Vodafone Ghana has signed a $115m financing package with the International Finance Corporation and a group of African, Chinese and German lenders. The ‘A/B’ loan package will finance the expansion of broadband and mobile services in Ghana.