By Cristal Cody
Tupelo, Miss., July 17 – Hildene Leveraged Credit LLC sold $358.3 million of notes due July 22, 2027 in a collateralized loan obligation deal, according to a market source.
The Hildene CLO IV Ltd./Hildene CLO IV LLC vehicle priced $206.5 million of class A-1A floating-rate notes at Libor plus 150 basis points, $17.5 million of 3.41% class A-1B fixed-rate notes and $40.85 million of class A-2 floating-rate notes at Libor plus 225 bps.
The CLO also sold $17.5 million of class B floating-rate notes at Libor plus 310 bps; $21 million of class C floating-rate notes at Libor plus 380 bps; $18.75 million of class D floating-rate notes at Libor plus 550 bps and $36.2 million of subordinated notes in the equity tranche.
Citigroup Global Markets Inc. was the placement agent.
Hildene Leveraged Credit will manage the CLO, which is backed primarily by senior secured loans.
Proceeds of the offering will be used to purchase a portfolio of about $350 million of mostly senior secured leveraged loans.
Hildene Leveraged Credit was last in the primary market in November 2014 with its $361 million Hildene CLO III, Ltd./Hildene CLO III LLC deal.
The Stamford, Conn.-based asset management firm, part of Hildene Capital Management, LLC, priced two CLO deals in 2014.
| Issuer: | Hildene CLO IV Ltd./Hildene CLO IV LLC
|
| Amount: | $358.3 million
|
| Maturity: | July 22, 2027
|
| Securities: | Fixed-rate, floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: | Citigroup Global Markets Inc.
|
| Manager: | Hildene Leveraged Credit LLC
|
| Pricing date: | June 30
|
| Distribution: | Rule 144A
|
|
|
| Class A-1A notes
|
| Amount: | $206.5 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 150 bps
|
| Ratings: | Moody’s: Aaa (expected)
|
| Fitch: AAA
|
|
|
| Class A-1B notes
|
| Amount: | $17.5 million
|
| Securities: | Fixed-rate notes
|
| Coupon: | 3.41%
|
| Ratings: | Moody’s: Aaa (expected)
|
| Fitch: AAA
|
|
|
| Class A-2 notes
|
| Amount: | $40.85 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 225 bps
|
| Rating: | Moody’s: Aa2 (expected)
|
|
|
| Class B notes
|
| Amount: | $17.5 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 310 bps
|
| Rating: | Moody’s: A2 (expected)
|
|
|
| Class C notes
|
| Amount: | $21 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 380 bps
|
| Rating: | Moody’s: Baa3 (expected)
|
|
|
| Class D notes
|
| Amount: | $18.75 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 550 bps
|
| Rating: | Moody’s: Ba3 (expected)
|
|
|
| Equity
|
| Amount: | $36.2 million
|
| Securities: | Subordinated notes
|
| Rating: | Non-rated
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
