Smita's Feed
Apr 7, 2010

US CLO market poised for revival, 3 new deals in works

NEW YORK, April 7 (Reuters) – The U.S. Collateralized Loan
Obligation market is poised for revival with three new CLOs in
the works after the successful pricing of investment firm
Fraser Sullivan’s increased CLO last week, managers said.

CLOs — the main buyers of leveraged loans in Europe and
the United States at the peak of the boom — are funds that
pool bank loan assets and issue them to investors as bonds
bearing different levels of risk and return to spread the
risk.

Nov 4, 2009

Banks keen to join Kraft’s $9 bln acquisition loan

LONDON (Reuters) – Kraft Foods Inc <KFT.N>, which has secured a $9 billion bridge loan backing an expected bid for UK confectioner Cadbury <CBRY.L>, has been contacted by more banks keen to join the deal, senior bankers said on Wednesday.

The $9 billion loan is being led by Citigroup, Deutsche Bank and HSBC, a senior banker close to the deal said, adding that up to seven banks have already been approached in a second wave of selldown, including Barclays Bank, and more are eager to lend.

Nov 4, 2009

Kraft obtains $9 billion loan for Cadbury bid: RLPC

NEW YORK (Reuters) – Kraft Foods Inc has obtained a $9 billion in bridge financing from a group of nine banks to back its 10.2 billion pound ($16.7 billion) bid for Britain’s Cadbury Plc, bankers told Thomson Reuters LPC.

The nine banks include lead underwriters Citigroup Inc, Deutsche Bank AG, HSBC Holding Plc and Barclays Plc.

Oct 1, 2009

Kraft’s bankers confident of raising bridge loan

LONDON (Reuters) – Kraft Foods Inc’s bankers are confident that it can raise a jumbo bridge loan to finance its 10.2 billion pound ($16.26 billion) bid for Cadbury and tackle a maturing $4.5 billion loan, banking sources said on Thursday.

Kraft needs to show Britain’s Takeover Panel that it has committed financing in place before November 9, when it has to bid for a second time or walk away for six months, after Cadbury rejected its initial cash and share bid in September.

May 22, 2009
via From Reuters.com

Loan buyback-related rating actions stir debate

Photo

–Reuters LPC is a global provider of loan market news, data and analytics to the credit markets worldwide. For real-time news and analytics from LPC’s LoanConnector, sign up here.

A wave of downgrades tied to loan buybacks is igniting debate in the leveraged loan and CLO markets, highlighting the growing tension between CLO managers and rating agencies.