CVC, Rothschild awaken euro CLOs

摘要

The European CLO market snapped out of a stubborn lull last week, with CVC Credit Partners pricing a deal and Rothschild opening books on another trade. CVC credit partners priced the market's first CLO since a dramatic widening in spreads shuttered the primary space in early February. Arranger Credit Suisse did not disclose discount margins for the trade but sources said the Triple As were at 150bp, in line with where other primary deals have cleared this year. A recent tightening in mezzanine and junior spreads, however, helped the manager tighten levels lower down in the capital structure. The Double As were at a 215bp discount margin, tightened from previous price talk in the 225bp area, sources said. The Single As were at a discount margin of 350bp. The Triple Bs were at a discount margin of 515bp, while the Double Bs were at 800bp. "The CVC deal feels a bit more firm," one investor said. "It should help the market start back up again."