Wellfleet Credit prices $409 million CLO; Telos resets CLO; Redding Ridge eyes deal

By Cristal Cody

Tupelo, Miss., Jan. 17 – Wellfleet Credit Partners, LLC priced $409 million of 13-year notes in a new CLO deal as 2017 came to a close.

“We finished 2017 with strong momentum and look forward to continuing to expand our proven CLO platform in the coming year,” Dennis Talley, a portfolio manager at Wellfleet, said in a news release on Wednesday.

Since Wellfleet was formed in 2015 by private investment firm Littlejohn & Co., LLC, the company has priced six CLOs, including one deal in 2015, two CLOs in 2016 and three CLOs in 2017.

“In addition to several non-affiliated investors, Littlejohn funds, as well as its partners, invested in the CLO,” according to the news release. “Wellfleet will retain equity through a majority-owned affiliate in order to comply with U.S. risk retention requirements.”

In other action, Telos Asset Management LLC priced a $366.2 million refinancing and reset of a 2013 CLO.

Coming up, Redding Ridge Asset Management, LLC plans to price $1,552,350,000 of notes in a refinancing and renaming of a vintage 2014 CLO that was first priced by Apollo Credit Management (CLO) LLC.

Wellfleet prices $409 million

Wellfleet Credit Partners priced $409 million of 13-year notes in a new CLO offering, according to a market source and a news release on Wednesday.

Wellfleet CLO 2017-3, Ltd./Wellfleet CLO 2017-3 LLC sold $260 million of class A-1 floating-rate notes at Libor plus 115 basis points in the senior tranche.

BofA Merrill Lynch arranged the offering.

The performing credit arm of Littlejohn is based in Greenwich, Conn.

Telos refinances CLO

Telos Asset Management priced $366.2 million of notes and loans due Jan. 17, 2030 in a refinancing and reset of the Telos CLO 2013-4, Ltd./Telos CLO 2013-4, LLC offering, according to a market source and an amended and restated notice of changed pages to proposed third supplemental indenture on Tuesday.

The CLO sold $215 million of class A-R senior secured floating-rate notes at Libor plus 124 bps at the top of the capital stack.

Goldman Sachs & Co. LLC was the refinancing placement agent.

In the original $365.25 million deal issued Aug. 6, 2013, the CLO priced $214 million of the class A senior secured floating-rate notes at Libor plus 130 bps.

The credit management firm is a subsidiary of New York-based Tiptree Financial Inc.

Redding Ridge on tap

Redding Ridge Asset Management plans to price $1,552,350,000 of notes due January 2030 in the firm’s third CLO transaction, according to a market source.

The RR 3 Ltd./RR 3 LLC deal is expected to include $916 million of class A-1-R2 floating-rate notes (AAA); $155 million of class A-2-R2 floating-rate notes; $150 million of class B-R2 floating-rate notes; $75 million of class C-R2 floating-rate notes; $68 million of class D-R2 floating-rate notes and $188.35 million of preferred shares.

BNP Paribas Securities Corp. is the placement agent.

The deal is a refinancing and reset of the ALM XIV, Ltd. transaction that was originally priced on June 6, 2014 and managed by Apollo Credit Management. Apollo also refinanced $1,177,160,000 of notes from the CLO on April 5, 2017.

Redding Ridge Asset Management priced two CLOs in 2017.

The New York City-based asset management company was established in 2016 by Apollo Global Management, LLC.

© 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.