Constellation Brands fast growth in the beer business is diversifying what has been a traditional wine and spirits operationand also leading the way for plans to reduce $6.8 billion in net debt obligations, which include a $990 million term loan repricing that hit the market last week.
Retail investors are fleeing high yield bonds funds at a record pace of $7.1 billion this week, forcing fund managers to tap their cash reserves and sell some of their most liquid holdings to fund redemptions, even if they feel that the correction is a technical one.
Verso Paper pulled off a debt exchange it needs to complete its $1.4 billion merger with NewPage Holdings after sweetening the terms for subordinated bondholders a second time and lowering the percentage of acceptances required.
The entrance of new equity investors, including business development corporations and CLO equity funds, willing to contribute the first-loss piece has led to a return of warehouse bridge funding lines that dried up after the financial crisis.
The outlook for credit spreads in the coming three months remains slightly optimistic for high-yield investors, despite expectations of growing corporate defaults, according to the latest quarterly member survey from the International Association of Credit Portfolio Managers.
While the Volcker Rule gets blamed for the sudden lull in CLO issuance in January and February, its now getting some credit for helping one aspect of the roaring comeback of collateralized loan obligations: the infusion of new primary investors in AAA tranches.
Zebra Technologies agreed to purchase the enterprise business of Motorola Solutions, which had sales of $2.5 billion in 2013, for $3.45 billion in an all-cash transaction. Motorola's enterprise sales are more than twice those of Zebra.
A record rise in the number of first-time, single B-rated issuers has Standard & Poors concerned that a greater number of companies will be at risk of default in the event of a slowdown in the U.S. economy
Just when you thought that risky corporate borrowers were getting away with everything, investors are demonstrating that have at least a little fight left in them. High yield bonds are in such high demand that investors have been willing to give up all kinds of protection in order to put their money to work. But non-call periods are a line in the sand.
Moodys Investors Service downgraded its outlook on regional casino operators, to negative from stable after 15 of 18 states reported declining year-over-year gaming revenues for consecutive months. The weaker-than-expected results were surprising.
Verso Paper is making another go of an exchange offer it needs to complete before it can close its acquisition of NewPage Holdings. A similar exchange offer earlier this year failed to get enough support from bondholders.
Analysts believe the former junk bond record-holder is getting ready to put a lot more debt on the market in its efforts to secure a $32 billion merger with T-Mobile.
Corporations are flush with cash and debt markets are eager to provide additional capital for acquisitions. That makes it increasingly easy for borrowers to negotiate favorable terms, according to William Schwitter and Michael Chernick, both partners with the law firm of Paul Hastings.
Monroe Capital is suing a former managing director and fund partner, alleging he is tried to take clients for a new firm while he was still employed by Monroe. Monroe said in a complaint that Warren Woo accessed information at Monroe that was beyond his authorization and transferred this data to his new firm via emails.
Corporate borrowers were still in the drivers seat in the first half, even if they didnt raise as much money in the high yield bond and leveraged loan markets as they did a year earlier. With demand strong and defaults low, participants expect to see the same pace in the second half, driven by a similar mix of refinancing, strategic acquisitions and leveraged buyouts.