Eco Services, Natural Resource Partners price; AMD falls; funds see $1.28 billion inflow

By Paul A. Harris and Stephanie N. Rotondo

Portland, Ore., Oct. 9 – The Thursday session saw stocks hammered, with the major indexes in the United States dropping by 2%, but the primary high-yield market appeared orderly, sources said.

Two fully junk-rated deals, one from Eco Services Operations LLC and the other from Natural Resource Partners LP, priced for a combined total of $324 million of proceeds. The former priced on top of talk, and the latter came notably cheap to talk.

Breitburn Energy Partners LP’s offering was postponed. However, the reasons for pulling the offer had mostly to do with the company’s sector, oil and gas, according to a source close to the deal.

Dedicated high-yield funds saw $1.28 billion of inflows for the week to Wednesday, according to a trader who cited information contained in a weekly report from Lipper-AMG.

The secondary high-yield market dropped further Thursday.

Advanced Micro Devices Inc. didn’t need the day’s negative tone to decline, however. The company’s debt dropped Thursday following an announcement on Wednesday that its president and chief executive officer was stepping down.

With the company slated to put out earnings soon, the move has some wondering if it means that a turnaround effort is not going as well as hoped.

The weak marketplace did little to help the already trampled coal, energy and mining sectors.

“Coal, energy and anything oil and gas related is just getting bombarded,” a trader said.

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