The $14.3 billion-asset company sold its entire portfolio of collateralized loan obligations, with a cost-basis of $431 million, at a loss of $1.4 million on Tuesday.
Allison Transmission has updated price talk on a proposed $650 million upsized term loan add-on.
Corporate borrowers would likely see financing margins increase by more than one-third if CLOs are required to keep skin in the game of these deals, according to a study commissioned by the Loan Syndication and Trading Association.
Investors favored loan funds over bond funds again this week as high yield saw outflows and loans continued to see inflows.
Private equity firm Cerberus Capital Management is marketing its third collateralized loan obligation, according to a presale report from Moodys Investors Service.
It's clear that banks could not hold equity in non-exempt deals; less clear is whether they would have to sell holdings of senior tranches.
Investors continued to put cash into leveraged loans funds as exchange-traded funds took out cash from junk bonds this week.
The final version exempts syndicated loans from a ban on proprietary trading; there's also a carve-out allowing banks to hold and lend money to CLOs.
Endo Health priced $700 million in 5.75% senior notes due 2022 Wednesday. The deal was upsized from $375 million.
Issuers had engaged Standard & Poors to rate 32 collateralized loan obligations (CLOs) totaling $14.8 billion as of Nov. 29.