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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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All eyes will be turning to Indonesia this quarter, with debt bankers expecting a raft of loans and bonds to hit the offshore dollar market. Many names are already doing the rounds, and the fact that some are simultaneously seeking loans and bonds speaks volumes about their strategy to diversify their funding sources while trying to get the best out of pricing, write Rashmi Kumar and Isabella Zhong.
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The leveraged loan market is increasingly turning to aggressive debt structures reminiscent of the months leading up to the financial crisis of 2008, new data shows.
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German forklift truck maker Kion will call €525m of high yield bonds on April 15. The redemption will be financed with a new €200m bank loan and drawings under Kion’s revolving credit facility.
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French private equity firm Ardian hopes to back its sale of Diana Ingredients with an €800m covenant-lite loan if the company goes to a private equity firm.
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Sports marketing company Dorna Group has mandated three banks to arrange a facility to refinance €715m of debt.
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Astra Sedaya Finance has managed to more than double the size of its loan to $670m from the launch size of $330m, gathering a stellar response from lenders thanks to the company choosing to do a targeted syndication. The final deal size has surpassed that closed last year by sister company Federal International Finance, which used a similar strategy, with even bankers on the loan surprised by the tremendous market interest.