By Cristal Cody
Tupelo, Miss., Oct. 21 – Onex Credit Partners, LLC priced $508 million of notes due Oct. 26, 2027 in a collateralized loan obligation offering structured to comply with European and U.S. risk retention regulations, according to parent company Onex Corp. and a market source.
OCP CLO 2015-10 Ltd./OCP CLO 2015-10 Corp. sold $315 million of class A-1 floating-rate notes at Libor plus 154 basis points, $38 million of class A-2A floating-rate notes at Libor plus 230 bps and $27 million of 4.15% class A-2B fixed-rate notes at the top of the capital structure.
The CLO also priced $32 million of class B deferrable floating-rate notes at Libor plus 330 bps; $25 million of class C deferrable floating-rate notes at Libor plus 405 bps; $23 million of class D deferrable floating-rate notes at Libor plus 620 bps; $10 million of class E deferrable floating-rate notes at Libor plus 750 bps and $38 million of subordinated notes.
BofA Merrill Lynch was the placement agent.
Onex Credit Partners will manage the CLO.
The CLO is non-callable until Oct. 26, 2017. The reinvestment period ends Oct. 26, 2019.
The deal is backed primarily by broadly syndicated senior secured corporate loans.
Onex Credit Partners has priced three CLO deals year to date.
The Toronto-based private equity firm placed three CLO transactions in 2014.
| Issuer: | OCP CLO 2015-10 Ltd./OCP CLO 2015-10 Corp.
|
| Amount: | $508 million
|
| Maturity: | Oct. 26, 2027
|
| Securities: | Fixed-rate, floating-rate and subordinated notes
|
| Structure: | Cash flow CLO
|
| Placement agent: | BofA Merrill Lynch
|
| Manager: | Onex Credit Partners, LLC
|
| Call feature: | Oct. 26, 2017
|
| Pricing date: | Oct. 6
|
| Settlement date: | Oct. 22
|
|
|
| Class A-1 notes
|
| Amount: | $315 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 154 bps
|
| Ratings: | Moody’s: Aaa expected
|
| Standard & Poor’s: AAA
|
|
|
| Class A-2A notes
|
| Amount: | $38 million
|
| Securities: | Floating-rate notes
|
| Coupon: | Libor plus 230 bps
|
| Rating: | Standard & Poor’s: AA
|
|
|
| Class A-2B notes
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| Amount: | $27 million
|
| Securities: | Fixed-rate notes
|
| Coupon: | 4.15%
|
| Rating: | Standard & Poor’s: AA
|
|
|
| Class B notes
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| Amount: | $32 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 330 bps
|
| Rating: | Standard & Poor’s: A
|
|
|
| Class C notes
|
| Amount: | $25 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 405 bps
|
| Rating: | Standard & Poor’s: BBB
|
|
|
| Class D notes
|
| Amount: | $23 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 620 bps
|
| Rating: | Standard & Poor’s: BB
|
|
|
| Class E notes
|
| Amount: | $10 million
|
| Securities: | Deferrable floating-rate notes
|
| Coupon: | Libor plus 750 bps
|
| Rating: | Standard & Poor’s: B
|
|
|
| Equity
|
| Amount: | $38 million
|
| Securities: | Subordinated notes
|
| Ratings: | Non-rated
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