Middle market dominates for LBO activity with direct lenders stealing share from syndicated market New Co/New Traditions! Join us for a half day on September 12th for our 24th Annual Loans Conference. The middle market continues to remain a hot spot for LBO activity – however the numbers don’t always show it. Pre credit crisis (2004-2008), roughly…
Unitranche volume exploded in 2Q18 Unitranche volume hit a new high in 2Q18 since LPC began tracking this facility. 2Q18 issuance exploded to $8.67bn, up a whopping 178% from 1Q18’s low levels. Middle market lenders financed bigger deals in 2Q18 which also was a contributor to the pick up in unitranche volume. The average deal…
Middle market non-sponsored issuance jumps on the back of strong refi activity Middle market non-sponsored issuance jumped to US$27.3bn in 2Q18. This was up 29% from 1Q18 and was flat year-over-year. More refinancings drove the increase in loan issuance in this market. At US$21.3bn, non-sponsored middle market refis reached their highest level in three and…
Middle market sponsored syndicated volume reached US$20.9B in 2Q18 Middle market sponsored syndicated loan activity was pretty solid in 2Q18 reaching US$20.9bn, similar to 1Q18 issuance of $21.7bn. However, refinancings and repricings drove close to 40% of activity in 1Q18 and 2Q18 which is much higher than the mid 20% area in 2017. Furthermore, compared…
2Q18 US M&A loan volume sets quarterly record; 1H18 total also at historical high The US market cleared almost US$194bn in acquisition loan financing in 2Q18 via a series of jumbo deals, to set a new quarterly record. In turn, 1H18 M&A volume at US$363.5bn marked a record high for any half year period. At…
Unitranche spreads continue to decline amid intense competiton in the middle market Even though the leveraged loan market has seen some modest investor pushback on pricing and terms due to a voluminous supply market, the middle market remains insulated and heated. Lenders indicate no pushback is evident on smaller deals as the middle market remains…
U.S. buyout activity keeps up the lively pace, boosting LBO issuance Leveraged buyout activity has been keeping up a lively pace this quarter helping to drive LBO loan issuance higher. So far this quarter there has been US$23.9bn in completed LBO issuance, on par with 1Q18’s total of US$24.7bn. This will be the seventh consecutive…
AT&T legal ruling bodes well for M&A deals; Loan market backs over US$200bn in 2Q18 The debt capital markets are feeling good about M&A and more specifically, the unabated surge in large transformative acquisition deals. Total M&A transactional volume so far is up 39% year over year through June 11 and the highest level since…
Market Survey: Will new issue CLOs reach US$140bn this year? Roughly one third of the CLO managers, arrangers, and investors across the stack surveyed by Thomson Reuters LPC said CLO issuance will be US$110bn this year, while another third said US$120bn and 10% said new issue CLOs will reach US$130bn, which would be a record…
At roughly US$360bn, YTD global M&A loan volume is outpacing year ago totals About US$360Bn of global M&A loan has worked its way through the retail markets so far this year, an increase of 5% over the same time last year. Roughly 76% of deal flow has originated in the Americas which have raised over…