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Aug 8, 2014

Charter cuts loan size, increases pricing in choppy market

NEW YORK, Aug 8 (Reuters) – Cable company Charter
Communications cut the size of its term debt and made lender
friendly changes on Friday, driven by choppy market conditions,
sources said.

This is one of a batch of deals facing higher borrowing
costs as investors balk at pricing levels due to growing
volatility in the equity and high-yield markets.

Jun 7, 2013

U.S. loan prices hold up well amid volatility

NEW YORK (Reuters) – U.S. secondary loan prices are seeing their first bout of weakness since the beginning of the year, pressured by macroeconomic concern that the Federal Reserve will slow its quantitative easing program which has already crushed high yield bond prices.

US leveraged loans had a relatively small 23bp correction to 98.82 on Thursday but remain well insulated as the only major fund class to see inflows last week. Nearly $1 billion of cash flowed into bank loan mutual funds, compared to a record $4.6 billion outflow from high yield, according to Lipper FMI.

Apr 4, 2013

RLPC: First actively managed senior loan ETF launches

NEW YORK, April 4 (Reuters) – The leveraged loan world
welcomed the first ever actively managed exchange traded fund
(ETF) focused on senior bank loans today.

State Street Corp and the Blackstone Group’s
new senior loan ETF began trading today on the NYSE Arca under
the symbol SRLN.

Jan 4, 2013

Pre-cap loans a moveable feast for sponsors

NEW YORK (Reuters) – Bull markets produce innovation. The latest novelty in U.S. leveraged loans is a pre-capitalization or pre-cap financing, which allows companies to keep existing financing and capital structures in place if they are sold.

Pre-cap loans reappeared in 2012 after debuting in 2005. Six were completed in the U.S. last year and they look set to remain a feature of 2013.

Jan 4, 2013

RLPC: Pre-cap loans a moveable feast for sponsors

NEW YORK, Jan 4 (Reuters) – Bull markets produce innovation.
The latest novelty in U.S. leveraged loans is a
pre-capitalisation or pre-cap financing, which allows companies
to keep existing financing and capital structures in place if
they are sold.

Pre-cap loans reappeared in 2012 after debuting in 2005. Six
were completed in the U.S. last year and they look set to remain
a feature of 2013.

Dec 19, 2012

RLPC: Freedom’s loan dips after Cerberus sale sign

NEW YORK, Dec 19 (Reuters) – Freedom Group, the
maker of the Bushmaster AR-15 semiautomatic rifle used in the
Sandy Hook Elementary shooting, is seeing its term loan B
decline after its private-equity owner Cerberus Capital
Management put the gunmaker on the auction block.

Freedom Group’s TLB is trading more than 2 points lower,
down to 98-99 today, from its above par price prior to last
Friday’s shooting.

May 14, 2012

Chesapeake sets price talk on $3 billion bridge

NEW YORK (Reuters) – Chesapeake Energy Corp has set price talk on its $3 billion bridge loan, sources told Thomson Reuters LPC.

The loan, which is led by Goldman Sachs and Jefferies, is talked at 700bp over Libor with a 1.5 percent Libor floor. The loan is being sold at a discount of 96 cents on the dollar. Commitments are due Tuesday.

May 14, 2012

RLPC: Chesapeake sets price talk on $3B bridge

NEW YORK, May 14 (Reuters) – Chesapeake Energy Corp
has set price talk on its $3 billion bridge loan, sources told
Thomson Reuters LPC.

The loan, which is led by Goldman Sachs and Jefferies, is
talked at 700bp over Libor with a 1.5 percent Libor floor. The
loan is being sold at a discount of 96 cents on the dollar.
Commitments are due Tuesday.

Sep 7, 2011

US leveraged loans yield more than HY bonds

NEW YORK, Sept 7 (Reuters) – Senior secured US leveraged
loans are offering higher yields than riskier high-yield bonds
for the first time ever, according to research by Bank of
America Merrill Lynch, in a further sign of market dislocation.

Leveraged loans are normally considered safer than bonds and
are priced lower due to seniority in capital structures,
security and priority recovery in the event of a default.

Jun 15, 2011
via Breakingviews

Ron Perelman’s lowball offer deserves skepticism

By Lisa Lee
The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

Shareholders in M&F Worldwide shouldn’t rush to take Ron Perelman’s latest deal. The billionaire wants to buy the 57 percent of the company he doesn’t already own. His offer includes a premium, but the shares traded higher until recently. With M&F Worldwide’s boss involved in running Perelman’s investments too, skepticism is warranted.

    • About Lisa

      "Lisa Lee writes about mergers, corporate finance and the retail and consumer sectors from New York. She previously was a columnist at Dow Jones and a reporter at the Deal and Reuters. Prior to moving into journalism, Lisa was a leveraged finance banker at GE Capital. She also has worked on international trade issues for the U.S. Senate Finance Committee. Lisa started her career structuring cross-border joint-ventures in Korea and holds a bachelor’s degree in history from Yale and an MBA from Columbia."
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