In the second to last week of the year, the pace of CLO issuance is still going strong, with several deals making the rounds.
Standard & Poor’s announced preliminary ratings on several deals this week. The $717.0 million Madison Park Funding X Ltd. CLO includes a $4 million ‘AAA’-rated tranche; a $300 million ‘AAA’-rated tranche; a $15.75 million ‘AAA’-rated tranche; a $172.5 million ‘AAA’-rated tranche; a $58.5 million ‘AA’-rated tranche; a $30 million ‘AA’-rated tranche; a $59.25 million ‘A’-rated tranche; a $39.50 ‘BBB’-rated tranche and a $37.5 ‘BB’-rated tranche.
Credit Suisse Asset Management LLC (CSAM) will serve as the portfolio manager for this transaction. CSAM is an indirect, wholly owned subsidiary of Credit Suisse Group AG. As of Dec. 31, 2011, CSAM managed approximately $434 billion across a variety of different products for institutional, retail, and private clients worldwide.
Among the deals that the ratings agency announced is the $207.54 million CIT CLO 2012-1 Ltd. The structure includes a $172.68 million ‘AAA’-rated tranche; a $17.43 million ‘AA’-rated tranche; a $17.43 ‘A’-rated tranche and an unrated $109.3 million tranche. CIT Asset Management LLC will serve as the asset manager for the transaction. The company is an indirect wholly owned subsidiary of CIT Group.
S&P also rated the $371.04 Black Diamond CLO 2012-1. Black Diamond Adviser LLC will serve as the collateral manager for this transaction. The CLO is structured with a $2.2 million ‘AAA’-rated tranche; a $260 million ‘AAA’ rated tranche; $41.14 million ‘AA’-rated tranche; a $31.42 ‘A’ rated tranche; a $19.4 million ‘BBB’ rated tranche; a $16.8million ‘BB’-rated tranche and a $44.25 million unrated tranche of subordinated notes.
Moody's Investors Service also announced this week that it assigned definitive ratings to the $515 million Finn Square CLO Ltd., which JPMorgan Securities is raising for GSO/Blackstone.
The $319.30 million tranche was rated ‘Aaa’ and the $36.4 tranche was rated ‘Aaa’. In addition to the Class A-1 Notes and the Class P Securities rated by Moody's, the issuer will issue six other classes of notes, including subordinated notes.
As of the early Dec. closing date, the portfolio is 79% ramped, and Finn Square CLO is acquiring approximately 51% of the portfolio from another CLO through a Master Participation Agreement.
GreensLedge Capital Markets this week raised a $372.5 million CLO for Oak Hill Advisors, according to reports.
The fund, called OHA Loan Funding 20112-1 includes a $220 million triple-A rated portion with a price of Libor plus 139 bps.
Representatives of GreensLedge or Oak Hill were not immediately available for comment. The new CLO was first reported by Bloomberg.