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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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  • Lenders participating the new loan facilities for Otaş have had their commitments scaled back after the deal was hugely oversubscribed. Otaş is a holding company owned by Dubai’s Oger Telecom and which holds its 55% stake in Türk Telekom.
  • PrimeCredit and Zhejiang New Century Hotel Management have closed general syndications of their loans, with bankers now busy finalising allocations and drawing up documents.
  • The $285m refinancing loan for Offshore Incorporations has launched into syndication, with the company offering 25bp more than the last time it tapped lenders.
  • Bankers working on Gunvor Singapore’s $650m dual-tranche loan will close syndication by the end of the week, and plan to increase the deal size to as much as $800m depending on commitments.
  • Indian state-owned groups North Eastern Electric Power Corp and Oil India are giving lenders more time to make pitches for their requests for proposal.
  • Banks have signed Great Eagle Holdings’ HK$6.8bn ($876m) three year loan after finding enough demand from nine lenders in senior syndication.