Kramer Van Kirk resets $495.61 million CLO; MidOcean reprices $414.75 million notes

By Cristal Cody

Tupelo, Miss., Dec. 7 – Kramer Van Kirk Credit Strategies LP priced $495.61 million of notes in a refinancing and reset of a 2013 CLO offering as the refinancing space remains active into year-end.

The deal is Kramer Van Kirk Credit Strategies’ sixth CLO refinancing of the year.

MidOcean Credit Fund Management LP also priced $414.75 million of notes in a refinancing and reset of a vintage 2014 CLO.

More than $145 billion of CLOs have been refinanced year to date, according to market sources.

Kramer Van Kirk resets CLO

Kramer Van Kirk Credit Strategies priced $495.61 million of notes in a refinancing and reset of the KVK CLO 2013-1 Ltd./KVK CLO 2013-1 LLC transaction, according to a market source and a notice of revised proposed second supplemental indenture on Wednesday.

The CLO sold $295 million of class A-R senior secured floating-rate notes at Libor plus 90 basis points at the top of the capital structure.

Goldman Sachs & Co. was the refinancing agent.

The maturity on the refinanced notes was extended to Jan. 14, 2028 from the original April 14, 2025 maturity.

The reset CLO has a one-year non-call period and a two-year reinvestment period.

In the original $570.01 million transaction issued Feb. 27, 2013, the CLO sold $346.5 million of class A floating-rate notes at Libor plus 140 bps.

Kramer Van Kirk credit Strategies has refinanced six vintage CLOs year to date.

The Chicago-based CLO manager priced one new CLO deal in 2016.

MidOcean refinances CLO

MidOcean Credit Fund Management priced $414.75 million of notes in a refinancing and reset of a vintage 2014 CLO deal, according to a market source and a notice of optional redemption by refinancing and notice of revised proposed amended and restate indenture on Wednesday.

MidOcean Credit CLO II/MidOcean Credit CLO II LLC priced the $240 million of class A-R floating-rate notes at Libor plus 126 bps.

Jefferies LLC arranged the offering.

The maturity on the notes was extended to Jan. 29, 2030 from the original Jan. 29, 2025 maturity.

The reset CLO has a two-year non-call period and a four-year reinvestment period.

The CLO originally was issued on Jan. 29, 2014.

The affiliate of New York City-based private equity firm MidOcean Partners priced two new CLOs and refinanced one CLO transaction in 2016.

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