Debtwire’s Post

In the news: Steve Streit, Portfolio Manager, Acasta Partners, talked to Amy Or at Bloomberg about how the recent uptick in convertible deals, a majority of which were used to refinance existing debt, is a sign that issuance from the often-discussed maturity wall is beginning to materialize. In our view, coupons meaningfully lower than pricing in the straight debt market make the convertible bond market attractive for issuers. https://lnkd.in/ecggVEKc

Despite wider macro volatility, CLO issuance has remained robust with close to EUR 5bn of deals pricing in Europe during April. Ytd volume is around EUR 17bn, on track to compete with 2021’s 2.0 issuance record of EUR 39bn. Demand continues to be strong as investor liquidity is supplemented by high debt coupons and favourable equity distributions. Overall, our funds demonstrate undemanding CLO equity valuations and a greater exposure to shorter debt, both of which help to reduce downside risk from a price perspective. At the same time, elevated equity cash flows and further realisation of CLO debt discounts, sets the tone for continued upside.

Great article on European Banks by Caitlin McCabe and Patricia Kowsmann. Share buybacks can be great for investors..but the banks (of all issuers) should pay attention to what products and execution strategies they are using to implement them.... for an insight into some of the questions asked look no further than how BNP implemented the first phase of their €5bn '23 buyback... https://lnkd.in/ebGuBDrU #buyback #buybacks #boardofdirectors #executivemangement #clevel #thoughtleadership #dividendyield #makeourmarketsbetter

Bond issuance volumes have been relatively muted in 1Q24 so far, though deal counts have started to pick up: https://lnkd.in/es4FcfsE Global high-yield asset class volumes have been constrained, with many issuers waiting for interest rates to fall and thus considering cheaper coupon issuance in the coming quarters, while there has also been increased competition from other funding sources such as leveraged loans and private credit. Global bond issuance in 1Q24, based on YTD data to 27 March, suggests volumes have still staged an encouraging performance YoY compared with 1Q23. Check out our Bond Highlights 1Q24 for more insights: https://lnkd.in/es4FcfsE

Will 2024 be a banner year for secondaries transactions? Market participants predict liquidity issues will drive more LPs and GPs to the market, according to Private Equity International. At Tangible, we believe every investor should have access to the secondaries market - and wealth managers can play a big role in making that happen. We provide a platform that empowers wealth managers and asset managers to offer liquidity to their clients. Learn more at tangible-markets.com #secondaries #privatewealthmanagement #assetmanagement #privatebanking https://lnkd.in/guY7VtDV

We maintain a high level of confidence in the composition of both our funds' portfolios and the performance of the underlying investments. Transaction activity leading into 2024 remains extremely strong, with a healthy pipeline of new transactions across a broad range of different sectors. We estimate our current pipeline exceeds $350 million of new transaction activity, diversified across natural resources, manufacturing, real estate, diversified financials and technology.    Private credit remains an appealing asset class for delivering consistent investor returns in the current market climate. Our distinct approach as an opportunistic and special situations private credit provider positions our investors to benefit from equity-like returns via well protected senior-secured credit opportunities.    The Realside Capital Opportunities Fund is currently open to wholesale investors. Express your interest: clientrelations@realside.com.au  #privatecredit #privatedebt #privatemarkets #specialsituationsfinancing  

European leveraged finance markets in 2024 are poised for a rebound with five key factors driving activity: Restlessness: Financial sponsors and lenders are eager to deploy dry powder, boosting dealmaking. Imitation: Banks are expanding private credit capabilities, imitating successful private debt models. Creativity: Innovation in financing structures like NAV financing and private debt CLOs is unlocking liquidity. Distraction: Managing legacy assets may divert attention from pursuing new deals. Optimism: Despite challenges, there's optimism for increased M&A and debt issuance supported by stabilizing interest rates. Check Out @pivotcapitalllc.com to learn more. #LeveragedFinance #EuropeanMarkets #FinancialInnovation #DealActivity #Optimism

Rising interest rates led to valuation losses also at Investis Holding SA in 2023, which ultimately resulted in a modest net loss. Capitalization remains strong with a solid equity ratio and a loan-to-value (gross) of only 26.2% at the end of 2023. In addition, there has been no mortgage-backed debt since the end of 2019. We reaffirmed both rating and outlook. Find our complete rating report in e-Rating: https://lnkd.in/dvkZRUte. #ratings #realestate #swissmade

Following a two-year drought, dividend recapitalization transactions have seen a resurgence and are off to a record setting pace through the first half of 2024. Read Portage Point Partners 2024 Mid-Year Credit Market Update to lean more about the state of the market. https://lnkd.in/g3NY43ZD #SpeedToInsight

UK dividends started 2024 on a positive note, rising 4.9% to £15.6bn in the first quarter, ahead of our expectations owing to higher one-off special dividends. Regular dividends, which exclude these volatile one-offs, were £14.7bn in Q1, up 2.0% on a constant-currency basis, and in line with our forecast. Download the Dividend Monitor today & track the big trends in UK equity every quarter: http://spr.ly/6049jyH0P #Dividends #CapitalMarkets