KBRA Releases Research – Structured Credit Trend Watch: CLO Issuance in Bloom—First Quarter Record for Middle Market
2024年4月24日 - 11:29PM
ビジネスワイヤ(英語)
Collateralized loan obligation (CLO) issuance has blossomed in
the first quarter (Q1) of 2024 despite a higher for longer interest
rate environment. Leveraged loan volume and refinancing activity is
up significantly year-over-year (YoY), and structured credit
transactions, including broadly syndicated loan and middle market
CLO deals, had a tremendous first quarter, with the latter
experiencing a record for the period. Nearly $50 billion in total
issuance volume was recorded through Q1 for a 40% increase YoY.
Market participants have admittedly become more positive on the
leveraged finance market versus one year ago, when turmoil in the
regional banking industry introduced increased volatility and
uncertainty across the financial system. While underlying borrowers
are seeing reduced cash generation as a function of higher costs,
they have (broadly) been able to navigate a challenging period to
maintain margins. That said, defaults have ticked up.
In this report, we provide an overview of the overall structured
credit market, including new issue deal volume, benchmark spread
levels, notable transactions, and other trends through Q1 2024. In
addition, we provide a recap of KBRA’s 2024 rating and surveillance
activity.
Click here to view the report.
About KBRA
KBRA is a full-service credit rating agency registered in the
U.S., the EU, and the UK, and is designated to provide structured
finance ratings in Canada. KBRA’s ratings can be used by investors
for regulatory capital purposes in multiple jurisdictions.
Doc ID: 1004049
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Sean Malone, Managing Director +1 646-731-2436
sean.malone@kbra.com
Gabriele Gramazio, Senior Director +44 20 8148 1001
gabriele.gramazio@kbra.com
Eric Hudson, Senior Managing Director +1 646-731-3320
eric.hudson@kbra.com
Eric Thompson, SMD, Global Head of Structured Finance Ratings +1
646-731-2355 eric.thompson@kbra.com
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adam.tempkin@kbra.com
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jason.lilien@kbra.com