European Chart of the Week: 25th November 2019
Leveraged loan repricing volume has jumped to EUR 5.1bn in November to date, up from EUR 3.4bn in October and bringing the year-to-date figure to approximately EUR 25.8bn. While repricing volume still falls below the EUR 28bn recorded at this point last year, the share of leveraged loan issuance backing repricings has surged to 38% this month. This is, notably, the largest share of leveraged loan issuance that repricings have enjoyed since October 2018, when 44% of issuance was pegged for repricing activity.
Leading the way in November was a repricing of Masmovil Ibercom’s EUR 1.45bn TLB due 2026 to Euribor+ 262.5bps from a previous level of E+ 325bps. Next in size is the 25bps margin reduction of IFCO Systems’ EUR 1.092bn TLB facility.
A similar pattern has recently emerged in the US, with institutional loan repricing activity spiking to USD 18.3bn in 4Q19 to date with an additional USD 6.9bn in the pipeline. Despite the recent jump in volume, year-to-date US institutional repricing deal flow, at USD 27bn, still lags significantly the USD 235bn posted in the same period last year.
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.
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.
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