Onex brings upsized $764 million CLO; Babson prices; Symphony refinances; trading light

By Cristal Cody

Tupelo, Miss., April 13 – Onex Corp. announced on Monday that subsidiary Onex Credit Partners, LLC priced an upsized $764 million CLO deal in a private placement transaction.

The OCP CLO 2015-8 Ltd./OCP CLO 2015-8 Corp. transaction was upsized from an expected $510 million offering of notes due 2027.

BofA Merrill Lynch was the placement agent.

Final pricing details were not available by press time.

Onex said it purchased a majority of the equity in the transaction.

Onex Credit Partners, the credit investing arm of Toronto-based Onex, priced three CLO transactions in 2014.

In other primary action, Babson Capital Management LLC brought a $512.13 million offering.

Symphony Asset Management LLC also refinanced $371.5 million of notes in a vintage 2012 CLO deal.

Total U.S. issuance has climbed to about $32.6 billion, with $15.8 billion printed in March, according to BofA Merrill Lynch.

“Coming into the year, we thought risk retention might constrain issuance,” the analysts said in a note. “As potential solutions are starting to emerge, loan supply and the arbitrage may instead be the limiting factors.”

BofA Merrill Lynch forecasts $75 million to $90 billion of U.S. CLO issuance in 2015.

In the secondary market, trading has been light with bid-wanted-in-competition volumes totaling under $300 million in the previous week, according to the BofA Merrill Lynch report.

© 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.