Fitch U.S. MM CLO Spotlight – May 2024 Click here to learn more. ‘CCC’ Exposure Marginally Up Exposure to assets with Fitch IDRs or credit opinions of ‘CCC+’ or below, excluding nonrated assets, increased by 20 bps to 18.6%, compared to last month and 3.5% higher than a year ago…. Subscribe to Read MoreAlready a
The rise of the periphery Specialty finance is grabbing the limelight by offering strong returns, downside protection and diversification. With many investors having reached a level of exposure to direct lending that they are comfortable with, it’s natural that they should then begin casting around for more esoteric opportunities. One area claiming attention is specialty…
Leveraged loan and HY bond volume surge in 2Q24 amid refinancing activity Leveraged issuers raised over US$484bn via the loan and high yield bond markets in 2Q24, the strongest quarterly results since 1Q21…. Subscribe to Read MoreAlready a member? Log in here...
Fitch U.S. MM CLO Spotlight – May 2024 Click here to learn more. Defaults and Deferring Exposure Flat Twenty-five CLOs had exposure to at least one defaulted or deferring issuer at the end of May 2024. Average defaulted and deferring exposure across middle market (MM) CLOs remained at 0.7%…. Subscribe to Read MoreAlready a member?
Leveraged borrowers continue to tap lenders for refinancings: BMC Software among largest credits to return In the absence of meaningful new money loans calendar, a steady stream of refinancings have kept arrangers of leveraged loans busy in the first 6 months of 2024…. Subscribe to Read MoreAlready a member? Log in here...
The return of the mid-market With the focus having been on larger deals last year, 2024 has seen more typical private debt activity make a comeback. After a rocky two years, mid-market M&A activity looks set to finally rebound and lenders are reporting a bullish first half of the year. With interest rates hopefully on…
Mega funds exert dominance in US buyouts Read Preqin’s ‘Buyouts in North America: A Preqin Primer‘. The average size of US-focused buyout funds more than doubled from 2021 to 2023 to $750.7mn (aggregate $95.3bn), driven by a big increase in the very largest funds, according to Preqin data…. Subscribe to Read MoreAlready a member? Log
Do you expect to meet your lending goals this year? Middle market lenders were asked in a recent LPC survey if they expect to meet their lending goals this year…. Subscribe to Read MoreAlready a member? Log in here...
Default Rate Rises in Fitch’s U.S. Privately Monitored Corporate Ratings Portfolio Click here to learn more. The default rate for Fitch’s corporate portfolio of U.S. Privately Monitored Ratings (PMR) continues to rise despite better-than-expected resilience and growth of the U.S. economy as issuers continue to struggle with elevated interest rates and impending loan maturities…. Subscribe
U.S. BDC Earnings, Credit Headwinds to Persist in 2024 Fitch-rated U.S. business development companies (BDCs) face persistent headwinds in 2024, with rising paid-in-kind (PIK) income and continued markdowns of investments during 1Q24 signaling additional credit issues and resultant net investment income (NII) pressure…. Subscribe to Read MoreAlready a member? Log in here...