Cloud Crane prices to cap $3.3 billion week, bonds jump in busy dealings; recent issues hold gains

By Paul Deckelman and Paul A. Harris

New York, July 15 – The high-yield primary market closed out its busiest week in a month on Friday with one issue pricing, as heavy-equipment rental company Cloud Crane, LLC did a $470 million issue of eight-year secured notes.

Traders said that the new deal moved up strongly from its par pricing level in active aftermarket trading.

Cloud Crane’s new deal brought the week’s tally of new U.S. dollar-denominated, fully junk-rated paper to $3.37 billion in seven tranches, making it the busiest week the primary has seen in a month.

There was no other activity in the domestic new-deal market, with U.S. Express Enterprises Inc.’s prospective issue – originally expected to have priced on Friday – being pushed back to Monday or Tuesday’s business.

Word came from Europe that Italian gambling company Gamenet SpA, which announced a tender offer for an issue of its existing bonds, plans to sell new secured notes to fund that buyback.

On the domestic front, recently priced issues remained busy on Friday, particularly Thursday’s offering of five-year secured paper from casino operator Rivers Pittsburgh and Wednesday’s deal from television station owner Nexstar Broadcasting Group, Inc.

The new issues were seen continuing to trade at or near the peak levels to which they had moved – mostly a point or two over their respective issue prices.

Statistical market performance measures turned lower across the board on Friday after being mixed on Thursday, their second lower session in the last three trading days.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.