Junior debt investors gain seat at Euro CLO negotiation table
CLO documentation and structural negotiations are no longer limited to triple A noteholders and majority equity investors in Europe

Euro loan slide hits ramped warehouses as Carlyle eyes print and sprint deal
European loans tumbled in May, leaving CLO warehouses under pressure and causing a slowdown in primary issuance

We’ll get through this awkward patch
Wide liabilities have made pricing CLOs trickier in the past few months. But speakers at Creditflux’s CLO Symposium were optimistic that the arbitrage is OK — so long as you can place those triple As

Wide yields mean high times again for corporate hybrids
Prolonged disruption in financial markets has painted an ever-bleaker picture for credit fund returns and flows in 2022

CLOs at a glance (June 2022)
A listing of CLOs that have priced in the last month
 
   

Carlyle prepares to sprint after taking plunge with "unramped" European CLO
Carlyle Group has produced what is believed to be a rare print-and-sprint CLO in Europe

Invesco installs turbo single B tranche in European CLO new issue
Turbo tranches have returned to the European CLO market with Invesco using the mechanism attached to the single B-rated tranche in its latest new issue

Angelo Gordon prints 30th European CLO new issue of 2022
The €447.95 million deal, named Northwoods Euro CLO 26, brings CLO new issuance volume this year to €12.6 billion, according to Creditflux data

Quadruple winner Redding Ridge celebrates with new European CLO
Redding Ridge picked up four trophies in awards season (in contrast to one Premier League football team which is labouring in a similar pursuit) and it has struck while the iron is hot to print a new European CLO

Capital Four prints two-year ESG European CLO
Capital Four has become the latest European CLO manager to print a short-dated new issue, with JP Morgan arranging the €351.6 million deal, named Capital Four Euro CLO IV

"Derivative longs versus cash corporate shorts looks attractive, especially if we see a market sell-off"
Technicals are keeping cash credit spreads tight, but as central banks reduce purchases there will be relative value opportunities

Euro CLO league tables: PGIM and Jefferies lead as Euribor caps come back in fashion
April was the quietest month of the year in the European CLO market with only €2 billion pricing across four new issues and one reset

Global CLO league tables - April 2022 YTD
Global CLO league tables - April YTD

Managers look at rating agency combos as weighted average life drops
CLO managers are looking closely at rating agency pairings as investors opt for shorter risk horizons, according to market participants.

NatWest buys triple As to win future CLO business
NatWest Markets is understood to be buying European CLO triple A paper on its balance sheet in the hopes of picking up future mandates for its arranging business, according to market sources

Investable universe for Euro CLOs shrinks amid inflation
The number of loans suitable for European CLOs is getting smaller at a time when new CLO issuers are looking to enter the market

CLOs at a glance (May 2022)
A listing of CLOs that have priced in the last month
   

Minority equity available in Capital Four's forthcoming short-dated Euro CLO
JP Morgan is marketing Capital Four Management’s latest European ESG CLO, anticipated to price at the end of this week or beginning of next week

Euro CLO seniors firm up, but mezz widens as Jefferies prints Spire new issue and CSAM reset
Jefferies has expanded its European CLO arranging lead as senior spreads remain in line with recent deals, mezz appears to have leaked slightly wider and deals continue to feature capped tranches

High yield / loan slowdown affects year-end projections and pricing: Barclays
A sharp decline in primary market activity means expectations for high yield bond and even leveraged loan issuance need to be lowered, say Barclays credit strategists. And that in turn has implications for relative value

PGIM opts for two-year reinvestment on Euro CLO with triple As at 110bp
BNP Paribas arranged the €401.3 million deal, which features a shorter than traditional reinvestment and non-call period 

ICG hops into Easter with new CLO as European pipeline builds
The European CLO pipeline is slowly building 

Appetite for CLO warehouse investing increases in Europe
The investor base for European CLO warehouse risk has grown in the past few months, and is supporting the increasing number of CLOs where the equity tranche has come from widely syndicated sources

Arb work pays off
With day-one arbitrage alone delivering projected CLO cash-on-cash returns of 20-25%, 2021 may have been the best year ever for equity investors — at least until CLO spreads began to widen