Western European institutional loan and high yield bond issuance picked up in July, totaling EUR 15.7bn and EUR 11.7bn, respectively. This was the second consecutive month of gains for institutional loan volume, though year-to-date issuance of EUR 62.3bn is down 15% from the same period in 2018. Overall leveraged loan issuance stands at EUR 121bn so far in 2019, a 13% drop from the same period last year. 

High yield bonds have a similar story, with issuance of EUR 48.3bn year-to-date through July, representing a 10% decline year-over-year. On the bond side, refinancings have accounted for the majority (60%) of deal flow in 2019, though the refinancing share fell to 35% in July. 

Refinancings have represented a smaller 36% of institutional loan volume in 2019, through the number has varied widely on a month-to-month basis.  Most recently in July, refinancings accounted for just under half of deal flow.

In the early days of August, deal flow in the high yield bond market has slowed given an uptick in market volatility, with two deals totaling EUR 729m pricing, while another EUR 5bn of institutional loan volume has been added.

-Colm (CJ) Doherty colm.doherty@acuris.com For access to our comprehensive news, analysis and data on the global loan and bond markets, please subscribe to Debtwire Par.

Colm (C.J.) Doherty Global Head of Primary Market Analysis Debtwire

Colm Doherty is Debtwire’s Global Head of Primary Market Analysis. He is responsible for leading the production of primary market analysis and reports focused on the leveraged loan and high yield bond markets. Prior to joining Debtwire, Colm was Director of Analysis at Thomson Reuters LPC covering leveraged loans, CLOs and high yield bonds.

Colm has a B.A. in Economics & Legal Science from National University of Ireland Galway and an MSc. in Accounting & Finance from Ulster University.