NFP, Melco add-on, Aker price; upsized, edited Exela deal ahead; new Sirius tranches busy

By Paul Deckelman and Paul A. Harris

New York, June 27 – High-yield issuance continued on Tuesday as a trio of borrowers priced a combined $1.25 billion of new paper.

The sole domestic issuer, insurance brokerage company NFP Corp., priced an unscheduled $500 million of eight-year notes. Traders later heard that new paper quoted a little higher.

Norway’s Aker BP, an energy company, did a $400 million issue of five-year notes, while Hong Kong-based gaming operator Melco Resorts & Entertainment Ltd. brought a $350 million add-on issue to its existing 2025 notes, which had been sold last month.

Both tranches of Monday’s two-part megadeal from satellite broadcaster Sirius XM Radio Inc. were actively traded on Tuesday, and there was some volume as well in Monday’s other new issue, from oilfield services company Weatherford International Ltd.

Apart from the credits that have actually priced, primaryside sources said the three companies combining to form the new transaction processing and tech services company Exela Technologies did some tinkering around with that upcoming secured note issue, dropping a planned tranche of unsecured paper and enlarging the whole package to $1 billion, which could price after the order books close at midday ET on Wednesday.

Away from the new deals, it was another upside day for energy names such as California Resources Corp., EP Energy Corp. and Whiting Petroleum Corp., in line with a fourth consecutive day of gains in world crude oil prices.

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