Junk shadow calendar eyed; Clear Channel notes above par; funds see $311 million inflow

By Paul A. Harris and Abigail W. Adams

Portland, Me., Aug. 31 – The high-yield primary market remained quiet on Thursday and is not expected to reactivate until Tuesday at the conclusion of the extended Labor Day holiday weekend.

However, September promises to be a busy month, market sources said.

The consensus seems to be that the month ahead could see issuance in the context of $20 billion, a syndicate banker said on Thursday, adding that the post-Labor Day week might see as much as $2 billion to $3 billion of new issue volume.

A shadow calendar of deals expected to come continues to take shape with prospective offerings from Syneos Health Inc., NCR Corp., Uber Technologies, Inc., Worldpay and Bausch + Lomb Corp. eyed, sources said.

Meanwhile, the secondary space remained relatively active on Thursday with end-of-month clean-up and some volatility surrounding the latest piece of inflationary data, the Personal Consumption Expenditure report, sparking trading activity.

Clear Channel Outdoor Holdings, Inc.’s 9% senior secured notes due 2028 (B1/B) continued their uptrend in heavy volume with the notes now trading on a par handle for the first time since early August.

Howmet Aerospace Inc.’s senior notes (Ba2/BB+/BBB-) were active, although with little movement in price with the market expecting the company to reach rising star status.

High-yield ETFs saw $311 million of daily cash inflows on Wednesday, according to a market source.

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