According to high yield/leveraged loan research from JPMorgan, leveraged loans posted a ninth consecutive large weekly inflow totaling $528 million. It was the lowest total of inflows from prior eight weeksn, which ranged from $575 million to $1.3 billion.
Bloomberg reports there are at least 16 deals with commitments due next week, including $735 million of term loans that will help fund the buyout of Flow Control Group by KKR.
S&P Global Ratings noted Monday that collateralized loan obligations deal pricings on Friday included the $726.25 million Madison Park Funding XXXV refi and the $405.7 million MidOcean Credit 2016-6 reset. That brings year-to-date volume to approximately $82 billion, with refis/resets accounting for about 60% of that total, per S&P.
New-issue CLO volume totals $8.9 billion month-to-date, following a record $15.8 billion in February, according to JPMorgan. Year-to-date CLO volume (excluding refinancings and resets) total $33.4 billion, nearly double the $17.9 billion at the same period in 2020, prior to the outbreak of the COVID-19 pandemic.
Meanwhile, U.S. junk bonds rebounded to post the biggest one-day gain in more than two months last Thursday, putting the market on track to end a three-week losing streak.
Vici Properties Inc. is planning to sell about $1.7 billion of junk-rated bonds to help pay for its $4 billion acquisition of the real estate of the Venetian resort and its convention center from Las Vegas Sands Corp. Vici expects to start marketing the new bonds to institutional investors over the coming months but timing will be dependent on Apollo Global Management obtaining regulatory approvals to acquire the Venetian’s operating assets in a related transaction.
Distressed mall owner Washington Prime Group faces an expiration of a grace period for a missed payment on its unsecured notes Monday. The real estate investment trust said last month that it would use a 30-day moratorium to continue negotiations with its lenders. The company is also scheduled to present at the Roth Capital Partners conference that same day, along with Talos Energy Inc. and W&T Offshore Inc.
Bloomberg, with additional reporting from ASR
