AI disruption fears and Middle East-driven macro volatility weigh on loan and bond issuance – 1Q26 LevFin Highlights
LevFin issuance across the US and European institutional loan and high-yield bond markets saw a strong start to the year before fears of artificial intelligence (AI) disruption and escalating macro volatility stemming from the US and Israel war with Iran weighed on market activity

Global issuance falls 22% QoQ and 12% YoY amid tech selloff and geopolitical insecurity – 1Q26 Loan Highlights
Loan issuance in the Americas, EMEA and Asia-Pacific (APAC) regions reached USD 1.37tn in 1Q26, according to Debtwire data; this volume was 22% down compared to the previous quarter and 12% below 1Q25

M&A volume leap 20% to USD 1.38tn in first quarter of 2026
Even the Iran conflict has not arrested momentum among larger deals. A mammoth USD 122bn capital raise from OpenAI closed on the last day of the quarter, according to Mergermarket data

Iran conflict weighs on primary but cross-border European loan deal flow continues
Europe Loan Digest: Electronic Arts prices euro-dollar loan; Grifols launches refi

AI blockbuster deals surge as Middle East conflict test dealmaker confidence
Mergermarkets M&A Highlights 1Q26: Global M&A volume jumped 22% to the second highest start ever

Investors scrutinise AI disruption and opportunities in the European loan market
Lower EV, high leverage elevate credit risk and refi challenges; AI-driven sell-off creates selective buy opportunities

ABS primary braves geopolitical uncertainty as spreads start to feel pressure – European ABS Weekly Digest
The European ABS primary market mostly shunned geopolitical risk this week as seven deals priced, two of which were pre-placed

First Brands seeks expedited sale of Walbro business for USD 50m to Overdrive Capital
USD 50m cash purchase price plus assumed liabilities, Polaris Industries as guarantor; expedited approval needed due to funding constraints and potential job losses

Group.ONE TLB and Cision loan fall on continued AI selloff
Market Comment: Software leveraged loans are under pressure on continued AI fears

Software private credit names face refinancing risks amid AI fears – KBRA
ANALYSIS: The ratings agency also noted that software exposure alone is not a risk to BDCs, private credit CLOs and direct lending portfolios

US lev loans, CLO spreads move in opposite directions as market worries deepen over software loans
ANALYSIS: The unusual dynamic has been driven by worries about disruption from artificial intelligence, as investors fret about the potentially wide-ranging impacts across a range of sectors

Loan market steams ahead with new launches as more deals line up in Europe
Flex-downs abound, but Hologic’s sub-300bps spread raises eyebrows, while performance in focus for Archroma, Seqens and Lipton Tea

Repricings comprise half of European levloans’ record year, new money drops to lowest level since GFC
The European leveraged loan market reached its highest yearly issuance volume ever in 2025, according to Debtwire data, driven by repricings

Lev loan guidance shift will challenge private credit CLOs, bring more new loan supply – Shenkman
EXCLUSIVE: Regulators rolling back restrictive guidance around leveraged lending could help traditional bank lenders claw back market share from US direct lenders

ATLAS SP loan trader moves to Scotiabank
New York-based Andres Rodlauer has taken up a new role as head of US Whole Loan Trading at the Canadian bank

First Brands Group faces UMB Bank objection to Weil Gotshal, Lazard, and Alvarez retentions over conflict concerns
UMB Bank questions Weil’s independence, dual representation of debtors and non-debtors; Bank cites removal of Global Assets’ independent director and potential SPE conflicts

Co-op activity heats up as creditors prep for heavy restructuring slate – EU and Northam Restructuring Insights Report
EXCLUSIVE: Peraton, Resource Label and RDM creditors sign new co-ops: Selecta noteholders file legal challenge to co-op

Thoma Bravo’s LBO loan deal for Calabrio draws mixed reactions over AI risk
EXCLUSIVE from Debtwire: USD 1.5bn first-out term loan marketed at SOFR+ 400bps, 97-98 OID; Investors divided on AI risk, some betting on Thoma Bravo's software expertise

Altice France new capital structure starts trading as investors consider M&A potential
Restructuring completed as secured debt trades; break-up of Altice France business possible through sector consolidation

First Brands Bankruptcy: financial tune up raised red flags that Wall Street overlooked
First Brands files for chapter 11 bankruptcy protection; Stakeholders anticipate significant discovery into company's practices

Rush to exit bankruptcy pushes more companies to file a second time
Four companies file for second time in 2025, up from one last year; Poor prognosis for Chapter 22 filers, with high liquidation rates  

Corporate default rates predicted to fall despite tariff uncertainty - S&P
Speculative-grade corporate default rates expected to fall on both sides of the Atlantic as trade tension uncertainty eases, but some concerns remain

Buyout Highlights - Overview of Europe Buyout and Financing Trends 1Q25
Leveraged loans are again the main source of financing for LBOs in Europe, providing 65% of the total volume issued in 1Q25  

Tariffs will push up default rates for several years, say agencies and managers
After an uptick in leveraged loan defaults culled weaker credits in 2024, many expected default rates to fall in 2025. But the uncertainty stemming from the Trump administration’s tariffs means those assumptions are now under threat

Leveraged loan, HY defaults to pick up as tariff pause adds more uncertainty - Goldman
The bank expects macro challenges to continue despite the tariff pause