US M&A loan issuance continues at a healthy pace this quarter At around the halfway point in the quarter, US M&A activity has remained busy. Through November 14, there has been US$71bn in completed leveraged M&A issuance and US$10.6bn in completed non-leveraged M&A issuance…. Subscribe to Read MoreAlready a member? Log in here...
Combined AUM surpassed $750bn for U.S. CLOs and retail loan funds CLOs manage roughly half of current institutional loan outstandings with retail loan funds managing an additional 14%. Their respective shares have been steady, hovering around these levels since mid-2015 when CLOs first reached a 50% share of outstandings. Meanwhile, the pie has certainly grown…
After a tumultuous October, BDC price/NAV turns back up amid favorable earnings BDC share prices are back on the mend this month amid favorable 3Q18 earnings following an extremely volatilie October which wiped out price based returns for many. After going into negative territory in October, the Wells Fargo BDC Index is recovering lost ground…
Downward price flexes increase for third consecutive month Despite the volatility in the equity markets and a recent softening in loan trading levels, the demand for institutional loans in the primary market was at full throttle in October. Investor appetite was evident in price flex activity. In October, there were 23 downward price revisions on…
At US$33Bn, YTD global green & ESG loan volume more than 2.5 times full year 2017 totals Global socially responsible financing continues to gain traction with nearly US$33bn in new green and ESG loan assets working their way through the market so far this year. With another 3 months left to 2018, year to date…
After strong 2Q, 3Q18 ABL loan volume down 45%; 1-3Q18 totals 2% off y-o-y Consistent with behavior observed across the leveraged cash flow market, the asset based loan market saw a marked drop off in issuance in 3Q18, completing less than US$17bn in deals via retail syndication. These results represented a 45% decline in volume…
Syndicated middle market sponsored volume tanked in 3Q18 The summer of 2018 was not noteworthy for those middle market lenders that focus on sponsored deals. Syndicated issuance took a nose dive to just US$13.7bn in 3Q18, down 43% and 30% from 2Q18 and 3Q17 levels respectively. “We are only able to get crumbs in terms…
Leveraged loan volume tumbles in 3Q18; Arrangers back end jumbo deals to September Despite the strong market technicals which continued to define the US loan market, 3Q18 leveraged loan volume tumbled 57% quarter over quarter with US$176.6bn of assets completed in retail syndication. Some of this was not altogether surprising given the traditional slowdown during…
Primary yields widen in 3Q18 to levels not seen in over two years Average primary yields on first-lien institutional term loans in 3Q18 are at their highest levels since 1Q16. At 6.44%, the average yield assuming a three-year term to repayment on first-lien institutional term loans is 67bp higher than 2Q18’s average. Unlike prior quarters,…
US institutional market flex activity has favored issuers so far this month September deals in the institutional loan market have so far been well received by investors. The Flex Factor has tracked 6 flexed deals so far this month with 5 of them being in favor of issuers. This has allowed for an issuer friendly…