The Loan Syndications and Trading Association (LSTA) on Dec 29 released the results for its 2012 Loan Market Survey (for a full copy of the slide presentation, please click the link below).
Among the findings of the survey were that banks will be the single biggest lender in the leveraged loan market. The LSTA reported that 34% of the survey participants identified banks as the largest lender, followed by 18.6% for CLOs and 16.9% for mutual funds.
The LSTA also recently reported that institutional loan originations can go up by 10% to 30% in 2012.
Standard & Poor's analysts said this morning that some of these loans can eventually make their way into CLOs. The rating agency projected that 2012 CLO issuance can reach $15 billion or 15% above last year.
Issuers pushed some CLO deals in the fourth quarter pike into 2012, with as as much as $1.5 billion in January, analysts added.
According to the S&P report, a CLO that priced in late December brought the total issuance number of S&P-rated CLOs for 2011 to $13 billion. This figure includes $11.7 billion of broadly syndicated loan CLOs — 26 deals — and $1.3 billion of middle-market CLOs comprising four transactions.
On Dec. 22, published reports indicated that Citigroup raised a $415.2 million CLO to be managed by CIFC Corp. The deal, which was the first CLO for newly created CIFC, had an S&P-rated 'AAA' portion worth $275.3 million.
CIFC was formed by the merger of Commercial Industrial Finance Corp. and Deerfield Capital Corp. on April 13.
The firm manages $10.7 billion across 29 CLOs as of Sept. 30 and serves over 200 institutional buyers in North America, Europe, Asia and Australia, according to the company's Web site.