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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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  • SSA
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  • Russian commodities credit Novolipetsk Steel (NMLK) raised $1bn in commitments for a new four year loan but has not yet disclosed the final size of the borrowing.
  • Banca IMI, BNP Paribas and UniCredit have wrapped up syndication of Eu650m of senior loans backing First Reserve Corporation’s purchase of 45% of Ansaldo Energia from Finmeccanica. Bookrunners said the loans, which were syndicated to bank lenders, were twice oversubscribed.
  • Bookrunner UniCredit is preparing to launch syndication of the loans backing Advent International’s small-cap LBO of Czech energy company TES from Penta Investments.
  • Syndication of the Z770m ($240m) of loans backing Mid Europa’s buy-out of Zabka Polska, a Polish convenience store operator, have been launched to general syndication after the early-bird phase covered much of the book.
  • Ukrainian natural gas producer Kubgas has secured a $40m seven year loan backed by the European Bank for Reconstruction and Development.