By Cristal Cody
Tupelo, Miss., April 30 - Marathon Asset Management LP sold $490.25 million of notes due May 2025 in the Marathon CLO VI Ltd./Marathon CLO VI LLC deal, according to an informed source.
The CLO priced $288.5 million of class A-1 senior secured floating-rate notes (Aaa/AAA/) at Libor plus 153 basis points; $51.7 million of class A-2 senior secured floating-rate notes (/AA/) at Libor plus 205 bps; $45.8 million of class B senior secured deferrable floating-rate notes (/A/) at Libor plus 285 bps; $25.75 million of class C senior secured deferrable floating-rate notes (/BBB/) at Libor plus 350 bps; $22.7 million of class D secured deferrable floating-rate notes (/BB/) at Libor plus 505 bps; $7.3 million of class E secured deferrable floating-rate notes (/B/) at Libor plus 580 bps and $48.5 million of subordinated notes.
J.P. Morgan Securities LLC arranged the deal.
Marathon Asset Management will manage the CLO, which is backed primarily by broadly syndicated first-lien senior secured loans to corporate borrowers.
The CLO is non-callable until May 2016. The reinvestment period is set to end in May 2018.
Marathon Asset Management, a New York City-based global credit manager, was last in the primary market in 2013 when it priced the $614.25 million Marathon CLO V Ltd. deal.
| Issuer: | Marathon CLO VI Ltd./Marathon CLO VI LLC
|
| Amount: | $490.25 million
|
| Maturity: | May 2025
|
| Securities: | Floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: | J.P. Morgan Securities LLC
|
| Manager: | Marathon Asset Management LP
|
| Call feature: | May 2016
|
| Pricing date: | April 11
|
|
|
| Class A-1 notes
|
| Amount: | $288.5 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 153 bps
|
| Ratings: | Moody's: Aaa
|
| Standard & Poor's: AAA
|
|
|
| Class A-2 notes
|
| Amount: | $51.7 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 205 bps
|
| Rating: | Standard & Poor's: AA
|
|
|
| Class B notes
|
| Amount: | $45.8 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 285 bps
|
| Rating: | Standard & Poor's: A
|
|
|
| Class C notes
|
| Amount: | $25.75 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 350 bps
|
| Rating: | Standard & Poor's: BBB
|
|
|
| Class D notes
|
| Amount: | $22.7 million
|
| Securities: | Secured deferrable floating-rate notes
|
| Coupon: | Libor plus 505 bps
|
| Rating: | Standard & Poor's: BB
|
|
|
| Class E notes
|
| Amount: | $7.3 million
|
| Securities: | Secured deferrable floating-rate notes
|
| Coupon: | Libor plus 580 bps
|
| Rating: | Standard & Poor's: B
|
|
|
| Equity tranche
|
| Amount: | $48.5 million
|
| Securities: | Subordinated notes
|
| Ratings: | 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.
