Leveraged Loan Insight & Analysis – 7/25/2022

Middle market unitranche leverage declines in 2Q22


Leverage on middle market unitranche loans tightened to 5.57x in 2Q22, its lowest level since 3Q20, as it continued to retreat from the record highs seen in 2021. From a pricing perspective, blended spreads were flat for middle market unitranches, averaging 600bp in the most recent quarter.