Primary parade continues as Springleaf, CareTrust, CDK issues price; new issues active

By Paul Deckelman

New York, May 10 – The high-yield primary had a second consecutive busy session on Wednesday, with a trio of issuers bringing some $1.4 billion of new U.S. dollar-denominated and fully junk-rated paper to market.

That came on the heels of Tuesday’s even busier session, when a total of $3.5 billion of new paper from six different domestic or industrialized-country borrowers got done in seven tranches – the most seen in more than a month in Junkbondland.

Unlike Tuesday’s issues, almost all of which were opportunistically timed and quickly shopped same-day drive-by offerings, Wednesday’s activity all came off the forward calendar, with deals pricing after being on roadshows, or, at least, being in the market overnight.

CDK Global, Inc., a provider of information technology and digital marketing solutions to the automotive retailing industry, had the day’s biggest deal, an upsized $600 million of 10-year notes.

Consumer finance company Springleaf Finance Corp. did an upsized $500 million of five-year notes, which were seen having firmed in active initial aftermarket dealings.

Care Trust REIT Inc., which specializes in owning healthcare and senior living properties, brought a $300 million issue of eight-year notes.

Secondary traders meantime saw considerable activity, nearly all of it to the upside, in deals which came to market on Tuesday, including Fortescue Metals Group Ltd., Chemours Co., Community Health Systems Inc. and Century Communities Inc.

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