Last day of junk quarter: big primary and secondary on firm footing; United Wholesale flat

By Paul A. Harris and Abigail W. Adams

Portland, Me., March 31 – March exited the high yield new issue market like a lion on Wednesday.

Six issuers priced a combined seven tranches of dollar-denominated junk with a total face value of $3.69 billion.

Meanwhile, the secondary space was active on Wednesday with several bids-wanted-in-competition and offers-wanted-in-competition lists circulating the market, a source said.

While there was a healthy mix of buying and selling as accounts rebalanced their portfolios and prepared for the new quarter, the overall market was strong with several names bid up.

While several off-the-run names were active and making gains on Wednesday, United Wholesale Mortgage, LLC’s newly priced 5½% notes due 2029 (Ba3) fell flat in the aftermarket with the notes wrapped around their issue price.

Spirit AeroSystems, Inc.’s 4.6% senior notes due 2028 returned to focus on Wednesday with the notes making large gains with no clear catalyst other than end-of-quarter activity.

Hudbay Minerals Inc.’s 4½% senior notes due 2026 were also making positive strides in active trading following a slew of analyst upgrades for the company’s equity.

Murphy Oil Corp.’s 6 3/8% senior notes due 2028 (Ba3/BB/BB+) topped par in active trading on Wednesday after languishing below since mid-March.

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