Bank of America Merrill Lynch has priced a $526.8 million CLO to be managed by GoldenTree Asset Management, according to a person with knowledge of the deal.
The fund, which was upsized from $419.1 million, includes a $313 million triple-A-rated tranche priced at Libor plus 130 basis points. This is the tightest triple-A pricing the market has seen so far this year, surpassing PineBridge Investments’ CLO, which printed on March 27 at Libor plus 140 basis points.
The 11-year deal, which contains a 1.5-year non-call period, also includes a $62.85 million double-A-rated piece priced at Libor plus 235 basis points; a $39 million A-rated tranche at Libor plus 325 basis points; a $23.9 triple-B-rated slice at Libor plus 420 basis points; a $22 million double-B-rated piece at Libor plus 550 bps; and a $62.85 million equity tranche.
Meanwhile, Citigroup has raised a $416.2 million CLO to be managed by Doral Leveraged Asset Management, according to a person familiar with the deal. That transaction includes a $269.5 million triple-A-rated tranche priced at Libor plus 147 bps.
Year-to-date new issue CLO volume stands at $7.1 billion, according to analysts at Royal Bank of Scotland.