French retailer Vivarte is one of most widely held credits among European collateralized loan obligations, but its debt restructuring will hit older deals harder than newer one.

Vivarte announced in February it would postpone payments on €2.8 billion ($3.9 billion) of debt while it negotiates a restructuring. Managers of CLOs approaching maturity, who will be unable to wait out the restructuring, will have to sell their holdings of the company’s debt and take an immediate hit, according to research published this week by Moody’s Investors Service.

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