Chicago, April 1 – Birch Grove Capital LP sold $497.2 million in a collateralized loan obligation issued by Birch Grove CLO 4 Ltd., according to new issue report and a press release.
The notes will mature on April 17, 2034.
The CLO consists of $310 million of class A-1 senior secured floating-rate notes at SOFR plus 149 basis points, $15 million of class A-2 senior secured floating-rate notes at SOFR plus 170 bps, $40 million of class B-1 senior secured floating-rate notes at SOFR plus 210 bps, $15 million of class B-2 3.86% mezzanine secured deferrable fixed-rate notes, $17 million of class C-1 mezzanine secured deferrable floating-rate notes at SOFR plus 265 bps, $8 million of class C-2 4.41% mezzanine secured deferrable fixed-rate notes, $35 million of class D mezzanine secured deferrable floating-rate notes at SOFR plus 386 bps, $20 million of class E junior secured deferrable floating-rate notes at SOFR plus 788 bps and $37.2 million of subordinated notes.
Birch Grove Capital LP will manage the collateral through the end of the three-year reinvestment period on three-year.
Collateral for the notes consists of first-lien senior secured leveraged loans.
J.P. Morgan Securities LLC was the placement agent.
Birch Grove Capital is a New York-based alternative credit manager.
| Issuer: | Birch Grove CLO 4 Ltd.
|
| Issue: | Floating-rate notes, fixed-rate notes and subordinated notes
|
| Amount: | $497.2 million
|
| Maturity: | April 17, 2034
|
| Structure: | Cash flow CLO
|
| Placement agent: | J.P. Morgan Securities LLC
|
| Manager: | Birch Grove Capital LP
|
| Settlement date: | March 30
|
|
|
| Class A-1 notes
|
| Amount: | $310 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | SOFR plus 149 bps
|
| Rating: | Moody's: Aaa
|
|
|
| Class A-2 notes
|
| Amount: | $15 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | SOFR plus 170 bps
|
| Rating: | Moody's: Aaa
|
|
|
| Class B-1 notes
|
| Amount: | $40 million
|
| Securities: | Senior secured floating-rate notes
|
| Coupon: | SOFR plus 210 bps
|
| Rating: | Moody's: Aa2
|
|
|
| Class B-2 notes
|
| Amount: | $15 million
|
| Securities: | Mezzanine secured deferrable fixed-rate notes
|
| Coupon: | 3.86%
|
| Rating: | Moody's: Aa2
|
|
|
| Class C-1 notes
|
| Amount: | $17 million
|
| Securities: | Mezzanine secured deferrable floating-rate notes
|
| Coupon: | SOFR plus 265 bps
|
| Rating: | Moody's: A2
|
|
|
| Class C-2 notes
|
| Amount: | $8 million
|
| Securities: | Mezzanine secured deferrable fixed-rate notes
|
| Coupon: | 4.41%
|
| Rating: | Moody's: A2
|
|
|
| Class D notes
|
| Amount: | $35 million
|
| Securities: | Mezzanine secured deferrable floating-rate notes
|
| Coupon: | SOFR plus 386 bps
|
| Rating: | Fitch: BBB-
|
|
|
| Class E notes
|
| Amount: | $20 million
|
| Securities: | Junior secured deferrable floating-rate notes
|
| Coupon: | SOFR plus 788 bps
|
| Rating: | Moody's: Ba3
|
|
|
| Subordinated notes
|
| Amount: | $37.2 million
|
| Securities: | Subordinated notes
|
|
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