TCW prices $408.6 million new CLO; BlueMountain, NewStar refinance 2015 CLO notes

By Cristal Cody

Tupelo, Miss., April 24 – The U.S. CLO market remains busy with new issuance and refinanced deals.

TCW Group priced $408.6 million of notes in the company’s first CLO deal of the year.

In refinancing activity, BlueMountain Capital Management LLC sold $509.75 million of notes in a reset of a broadly syndicated CLO that priced in late 2015 and settled in January 2016.

In the middle-market space, NewStar Financial, Inc. sold $411.74 million of notes in a refinancing and reset of a 2015 vintage middle-market CLO.

More than $32 billion of new CLOs have priced year to date, while more than $44 billion of vintage CLOs have been refinanced so far in 2018, according to market sources.

TCW brings CLO 2018-1

TCW Group priced $408.6 million of notes due April 25, 2031 in the new transaction, according to a market source.

TCW CLO 2018-1, Ltd./TCW CLO 2018-1 LLC sold $215 million of class A-1a floating-rate notes at Libor plus 105 basis points at the top of the capital stack.

Natixis Securities Americas LLC was the placement agent.

TCW Group subsidiary TCW Asset Management Co. LLC will manage the CLO.

The global asset management company is based in Los Angeles.

BlueMountain resets CLO

BlueMountain Capital Management sold $509.75 million of notes in a refinancing and reset of the BlueMountain CLO 2015-4 Ltd./BlueMountain CLO 2015-4 LLC transaction, according to a market source and a notice of proposed supplemental indenture.

The CLO priced the $300 million of class A-1-R senior secured floating-rate notes at Libor plus 100 bps.

BofA Merrill Lynch was the refinancing placement agent.

The maturity on the reset notes was extended to April 20, 2030 from the original Jan. 20, 2027 maturity.

In the original $505.75 million transaction issued Jan. 13, 2016, the CLO sold the $310 million of class A senior secured floating-rate notes at Libor plus 150 bps.

BlueMountain Capital Management priced four CLO transactions in 2017.

The management firm is based in New York City.

NewStar refinances

NewStar Financial sold $411.74 million of notes in a refinancing and reset of a middle-market CLO transaction, according to a market source and a notice of revised proposed first supplemental indenture on Monday.

The NewStar Fairfield Fund CLO Ltd. deal was previously sold by Fifth Street CLO Management LLC under the CLO vehicle Fifth Street SLF II Ltd./Fifth Street SLF II LLC.

NewStar Fairfield Fund CLO priced $195 million of class A-1-N senior secured floating-rate notes at Libor plus 127 bps in the senior tranche.

Natixis Securities Americas LLC arranged the offering.

The maturity was extended to April 29, 2030 from the original Sept. 29, 2027 due date.

The original $416.6 million CLO was issued Sept. 29, 2015.

Boston-based NewStar acquired the Fifth Street CLO Management firm in 2017.

© 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.