By Cristal Cody
Tupelo, Miss., Aug. 12 – Silvermine Capital Management LLC sold $413 million of notes due Oct. 15, 2026 in a collateralized loan obligation deal, according to a market source.
Silver Spring CLO Ltd./Silver Spring CLO LLC placed $258 million of class A senior secured floating-rate notes at Libor plus 153 basis points.
The CLO priced $36.9 million of class B-1 senior secured floating-rate notes at Libor plus 230 bps and $10 million of 4.42% class B-2 senior secured fixed-rate notes.
The CLO sold $6.1 million of class C-1 senior secured deferrable floating-rate notes at Libor plus 325 bps and $15 million of 5.4% class C-2 senior secured deferrable fixed-rate notes.
Silver Spring CLO also priced $22.7 million of class D senior secured deferrable floating-rate notes at Libor plus 345 bps, $20.7 million of class E senior secured deferrable floating-rate notes at Libor plus 490 bps, $4.1 million of class F senior secured deferrable floating-rate notes at Libor plus 520 bps and $39.5 million of subordinated notes.
Barclays was the placement agent.
Silvermine Capital Management will manage the CLO, which is backed primarily by first-lien senior secured corporate loans.
The CLO has a two-year non-call period and a four-year reinvestment period.
Proceeds will be used to repay interim financing that allowed the issuers to purchase collateral before the deal settles and to purchase assets to reach a target portfolio of $400 million of leveraged loans.
Silvermine Capital Management was last in the CLO primary market on April 30 with the $518.1 million Silvermore CLO Ltd./Silvermore CLO LLC deal.
The Stamford, Conn.-based employee-owned asset management firm priced the $412.97 million ECP CLO 2013-5 Ltd./ECP CLO 2013-5 LLC transaction in 2013.
| Issuer: | Silver Spring CLO Ltd./Silver Spring CLO LLC
|
| Amount: | $413 million
|
| Maturity: | Oct. 15, 2026
|
| Securities: | Fixed-rate, floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: | Barclays
|
| Manager: | Silvermine Capital Management LLC
|
| Call feature: | 2016
|
| Pricing date: | Aug. 1
|
| Settlement date: | Sept. 10
|
| Distribution: | Rule 144A
|
|
|
| Class A notes
|
| Amount: | $258 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 153 bps
|
| Ratings: | Moody’s: Aaa
|
| Fitch: AAA
|
|
|
| Class B-1 notes
|
| Amount: | $36.9 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 230 bps
|
| Rating: | Moody’s: Aa2
|
|
|
| Class B-2 notes
|
| Amount: | $10 million
|
| Securities: | Senior secured fixed-rate notes
|
| Coupon: | 4.42%
|
| Rating: | Moody’s: Aa2
|
|
|
| Class C-1 notes
|
| Amount: | $6.1 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 325 bps
|
| Rating: | Moody’s: A2
|
|
|
| Class C-2 notes
|
| Amount: | $15 million
|
| Securities: | Senior secured deferrable fixed-rate notes
|
| Coupon: | 5.4%
|
| Rating: | Moody’s: A2
|
|
|
| Class D notes
|
| Amount: | $22.7 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 345 bps
|
| Rating: | Moody’s: Baa3
|
|
|
| Class E notes
|
| Amount: | $20.7 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 490 bps
|
| Rating: | Moody’s: Ba3
|
|
|
| Class F notes
|
| Amount: | $4.1 million
|
| Securities: | Senior secured deferrable floating-rate notes
|
| Coupon: | Libor plus 520 bps
|
| Rating: | Moody’s: B2
|
|
|
| Equity tranche
|
| Amount: | $39.5 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.
