We’ve calculated that this leisurely pace, roughly 0.0003 miles per hour, is about the speed we ran our most recent 10-K.
At first glance, ‘sluggish’ would also seem to describe the movement of deals along this quarter’s leveraged loan landscape. As reported by S&P/LCD, total new issuance looks to fall below $100 billion for the first time since 2Q of 2012 (see our Chart of the Week).
Clearly, as borrowing spreads have firmed, the number of opportunistic re-financings, both re-pricings and dividend recaps, has fallen. Over the past nine months, new-issue yields-to-maturity have risen from 4.6%, to almost 5.75%.
Similarly, middle market yields (per Thomson Reuters LPC) are up almost one percent since March – from 5.25% to 6.16% last month.