By Rebecca Melvin
New York, Sept. 26 – Deutsche Investment Management Americas Inc. sold $411.56 million of notes due January 2027 in the Flagship VIII Ltd./Flagship VIII LLC CLO transaction, according to a market source on Friday.
At the top of the capital structure, the CLO priced $251 million of class A senior secured floating-rate notes (Aaa/AAA/) at Libor plus 154 basis points.
The CLO also sold $49.75 million of class B senior secured floating-rate notes (/AA/) at Libor plus 245 bps; $27.5 million of class C deferrable floating-rate notes (/A/) at Libor plus 300 bps; $20.75 million of class D deferrable floating-rate notes (/BBB/) at Libor plus 370 bps; $19 million of class E deferrable floating-rate notes (/BB-/) at Libor plus 520 bps; $7.25 million of class F deferrable floating-rate notes (/B/) at Libor plus 585 bps and $36.31 million of subordinated notes.
Deutsche Bank Securities Inc. arranged the transaction.
Deutsche Investment Management Americas will manage the deal.
The CLO has a non-callable period that ends in January 2016 and a reinvestment period that ends January 2019. The deal is expected to close in November.
The offering is backed by a pool of broadly syndicated senior secured loans.
Deutsche Investment Management Americas, part of Deutsche Bank AG, will manage the CLO. The firm last brought a deal in February when it sold the $441.82 million Flagship CLO VII transaction.
| Issuer: | Flagship VIII Ltd./Flagship VIII LLC
|
| Amount: | $411.56 million
|
| Maturity: | January 2027
|
| Securities: | Floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: Deutsche Bank Securities Inc.
|
| Manager: | Deutsche Investment Management Americas Inc.
|
| Call feature: | January 2016
|
| Settlement date: | November 2014
|
|
|
| Class A notes
|
| Amount: | $251 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 154 bps
|
| Rating: | Moody’s: Aaa
|
| Standard & Poor’s: AAA
|
|
|
| Class B notes
|
| Amount: | $49.75 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | Libor plus 245 bps
|
| Rating: | Standard & Poor’s: AA
|
|
|
| Class C notes
|
| Amount: | $27.5 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 300 bps
|
| Rating: | Standard & Poor’s: A
|
|
|
| Class D notes
|
| Amount: | $20.75 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 370 bps
|
| Rating: | Standard & Poor’s: BBB
|
|
|
| Class E notes
|
| Amount: | $19 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 520 bps
|
| Rating: | Standard & Poor’s: BB-
|
|
|
| Class F notes
|
| Amount: | $7.25 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 585 bps
|
| Rating: | Standard & Poor’s: B
|
|
|
| Equity tranche
|
| Amount: | $36.31 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.
