HPS prices €407.4 million CLO; lighter euro volume eyed; GSO brings $453.17 million CLO

By Cristal Cody

Tupelo, Miss., June 6 – In new issue supply, HPS Investment Partners CLO (UK), LLP tapped the European primary market with a €407.3 million CLO offering.

The European securitization market has had a slow start this year due to the Jan. 31 release of new technical regulations in the space, Kroll Bond Rating Agency said in a structured finance report on Thursday.

“As a result, the market came to a standstill during the first month of 2019, with just one widely syndicated CLO deal priced,” the agency said. “After receiving more clarity from regulators, issuers slowly began to reenter the market in February, but average weekly volumes only began to normalize towards the end of the first quarter.”

Through the first five months of the year, just €32.7 billion of securitized debt was placed with investors, down 32% from the €47.4 billion priced over the same period in 2018, according to the report.

Year to date, the European CLO/CDO market has seen about €12 billion of issuance, compared to €22 billion forecast for the year, the report said.

In 2018, the European CLO/CDO market had €27.2 billion of volume, up from €19.2 billion in 2017.

Looking at the dollar-denominated primary market, GSO/Blackstone Debt Funds Management LLC priced $453.17 million of notes in a new CLO transaction.

© 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.