BNP, CSAM price euro CLOs; THL closes deal; Columbia Management refinances $722.75 million

By Cristal Cody

Tupelo, Miss., Aug. 9 – The U.S. and European CLO primary markets are staying active in August with details out on new deals.

BNP Paribas Asset Management France SAS priced a new €411.25 million CLO offering.

Also, Credit Suisse Asset Management Ltd. sold €508.5 million of notes in the Cadogan Square CLO XII DAC via Morgan Stanley & Co. International plc, a market source said. Final pricing details were not immediately available.

In the U.S. market, THL Credit Advisors LLC announced on Thursday that it closed on its previously reported $511.5 million THL Credit Wind River 2018-1 CLO Ltd./THL Credit Wind River 2018-1 LLC transaction.

The CLO placed the $298.75 million of class A-1 senior secured floating-rate notes at Libor plus 104 basis points.

Morgan Stanley & Co. LLC was the arranger.

THL Credit Advisors said it now manages 22 CLOs totaling more than $12 billion in assets following its acquisition of the CLO management business of Kramer Van Kirk Credit Strategies LP and KVK Global Strategies LLC.

“With this latest Wind River close and the CLOs we gained in the recent acquisition of KVK’s collateral management business earlier this summer, we have expanded our CLO assets under management by approximately $4 billion this year,” Chris Flynn, chief executive officer of THL Credit, said in a news release.

CLOs are “in high demand this year among institutional investors because of their reliable risk adjusted return profile and favorable floating-rate status,” Michael A. Herzig, managing director of THL Credit, said in the release.

In 2017, the Boston-based alternative credit investment firm priced four new CLOs and refinanced six vintage CLOs.

In other deal activity, Columbia Management Investment Advisors, LLC refinanced $722.75 million of notes from a 2015 CLO.

Nearly $70 billion of new dollar-denominated CLOs have priced year to date, while about €14 billion of euro CLOs have priced this year, according to market sources. More than $77 billion of vintage CLOs have been refinanced over the first half of the year.

BNP brings 2018 CLO

BNP Paribas Asset Management France sold €411.25 million of notes due Sept. 15, 2031 in the BNPP AM Euro CLO 2018 BV deal, according to market sources.

BNPP AM Euro CLO 2018 priced €248 million of the class A floating-rate notes at a discount margin of Euribor plus 93 bps.

Citigroup Global Markets Ltd. was the placement agent.

BNP Paribas Asset Management France is a Paris-based subsidiary of BNP Paribas Investment Partners SA.

Columbia Management reprices

Columbia Management Investment Advisors refinanced $722.75 million of notes due Oct. 15, 2026 from the Cent CLO 24 Ltd./Cent CLO 24 Corp. offering, according to a market source and a notice of executed supplemental indenture on Wednesday.

Cent CLO 24 sold $431.9 million of class A-1-R senior floating-rate notes at Libor plus 107 bps at the top of the capital structure.

Goldman Sachs & Co. was the refinancing placement agent.

In the $709.8 million transaction issued on Sept. 15, 2015, the CLO originally sold $431.9 million of the class A-1 senior floating-rate notes at Libor plus 147 bps.

Columbia Management Investment is an investment management firm based in Boston.

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