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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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  • A group of seven banks that made a joint bid for Far Eastern Group’s request for proposals for a $400m loan are tipped to win the mandate to lead the transaction.
  • Bankers working on Universal Terminal’s S$1.15bn ($923.6m) fundraising have finalised allocations after eight lenders came on board during syndication.
  • Taiwan’s Chailease Finance Company launched its NT$5bn ($170m) three year loan into general syndication on the evening of December 30, and has divided the deal into three different tranches.
  • The huge success of Chinese state-owned Sinopec Group’s loan during syndication has led to the company increasing the final deal size to $3.5bn from the planned $2.5bn — in a transaction that saw lenders from Asia, Australia, Europe, the Middle East and North America join.
  • Sino Biopharmaceutical has signed its debut loan of $165m via three bookrunners and mandated lead arrangers. A strong reception during syndication allowing the company to increase the loan size from the targeted $100m.
  • Indonesian company MNC SkyVision signed its increased loan of $243m this month, after managing to exercise an accordion option of $28m.