Activity mostly quiet after MLK holiday; Venture XXVI advances $502.5 million CLO deal

By Christine Van Dusen

Atlanta, Jan. 17 – Venture XXVI CLO Ltd./Venture XXVI CLO LLC advanced a new collateralized loan obligation transaction on an otherwise mostly quiet day for the market, as U.S. investors returned from the Martin Luther King Jr. holiday

The $502.5 million issue will be managed by MJX Venture Management LLC (MJX), with net proceeds used to purchase a $500 million portfolio of mostly first-lien senior-secured leveraged loans, according to a report from Fitch Ratings.

The deal will include six tranches – all due January 2029 – with $320 million class A notes, $57 million class B, $33 million class C, $25.5 million class D, $24.5 million class E and $42.5 million subordinated notes.

The CLO will have a 4.9-year reinvestment period and a 2.4-year non-call period.

The transaction also includes standard refinancing provisions that can be undertaken after the non-call period, the report said.

Secondary trading for investment-grade CBO/CDO/CLO totaled $199.31 million, according to Trace’s most recent report. Non-investment grade activity totaled $259.37 million.

© 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.