By Rebecca Melvin
New York, Jan. 11 – Neuberger Berman Investment Advisers LLC priced $550.875 million of notes due Jan. 15, 2028 in the new Neuberger Berman CLO 26-S Ltd./Newberger Berman CLO 26-S LLC, a transaction representing a refinancing of the Neuberger Berman Loan CLO 26, Ltd., according to a market source.
The original class A-1-R, A-2-R, B-1, B-2-R, C-1, C-2-R, D, E, and F notes are expected to be fully redeemed with the proceeds from the issuance of the replacement notes.
The new CLO sold $3 million class X floating-rate notes at a discount margin of Libor plus 60 basis points; $357.5 million of class A floating-rate notes at a discount margin of Libor plus 85 bps; $55 million of class B floating-rate notes at a discount margin of Libor plus 125 bps; $38.5 million of class C floating-rate notes at a discount margin of Libor plus 160 bps; $33 million of class D floating-rate notes at a discount margin of Libor plus 250 bps; $24.75 million of class E floating-rate notes at a discount margin of Libor plus 540 bps and $11 million of class F floating-rate notes at a discount margin of Libor plus 738 bps and $28.125 million of subordinated notes.
Wells Fargo Securities LLC was the placement agent.
Neuberger Berman Investment Advisers will manage the CLO.
Proceeds will be used to repurchase the Neuberger Berman CLO 26.
The transaction will be collateralized by at least 90% senior secured loans, with a minimum of 90% of the loan issuers required to be based in the United States or Canada.
Neuberger Berman Investment Advisors currently manages 12 CLOs and has $5.5 billion in total CLO assets under management.
The Chicago-based firm is part of Neuberger Berman Group, LLC.
| Issuer: | Neuberger Berman CLO 26-S, Ltd./Neuberger Berman CLO 26-S, LLC
|
| Amount: | $550.875 million
|
| Maturity: | Jan. 15, 2028
|
| Securities: | Floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: | Wells Fargo Securities LLC
|
| Manager: | Neuberger Berman Investment Advisers LLC
|
| Call feature: | Two years
|
| Settlement date: | Jan. 16
|
| Distribution: | Rule 144A, Regulation S
|
|
|
| Class X notes
|
| Amount: | $3 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 60 bps
|
| Rating: | Fitch: AAA
|
|
|
| Class A notes
|
| Amount: | $357.5 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 85 bps
|
| Rating: | Fitch: AAA
|
|
|
| Class B notes
|
| Amount: | $55 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 125 bps
|
| Ratings: | Non-rated
|
|
|
| Class C notes
|
| Amount: | $38.5 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 160 bps
|
| Ratings: | Non-rated
|
|
|
| Class D notes
|
| Amount: | $33 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 250 bps
|
| Ratings: | Non-rated
|
|
|
| Class E notes
|
| Amount: | $24.75 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 714 bps
|
| Ratings: | Non-rated
|
|
|
| Class F notes
|
| Amount: | $28.125 million
|
| Securities: | Floating-rate notes
|
| Discount margin: | Libor plus 738 bps
|
| Ratings: | Non-rated
|
|
|
| Equity
|
| Amount: | $28.125 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.
