Leela Parker Deo' s stories
Since late September, at least a half dozen middle-market LBO loans have been launched, along with a mix of refinancings, acquisition loans and a dividend recap deal. In contrast, in the broadly syndicated loan market, only two LBOs have been launched, Kinetic Concepts and Emdeon, underscori
KKR Asset Management, which recently closed the more than US$1bn KKR Mezzanine Partners I fund, sees ongoing risk-aversion and market volatility driving long-term credit investment opportunities. Constraints on lending capacity among senior lenders and borrowers’ limited access to credit amid a prolonged period of global deleveraging has produced investment opportunities in the credit space, particularly for mezzanine, or junior debt.
US independent power producer Dynegy has raised pricing and revised tranching on its US$1.7bn refinancing deal, after failing to fill the book by the July 22 commitment deadline, in order to better match investor demand for the paper. However, two separate lawsuits filed against the company before the commitment deadline still threaten to derail the deal.