Primary sells $2.9 billion; Hunt lags; Arcosa, Meritage at a premium; Goodyear, Vine flat

By Paul A. Harris and Abigail W. Adams

Portland, Me., April 1 – The domestic high-yield primary market cranked out three deals totaling $2.9 billion on Thursday.

The new deal activity included Ingram Micro Inc.’s $2 billion issue of eight-year senior secured notes (B1/BB-/BB), which had a solid break.

The activity comes on the first day of the second-quarter following a record-setting first quarter for new issuance.

Meanwhile, the secondary space started the second-quarter on firm footing although volume was relatively light heading into the holiday weekend.

New paper remained in focus following the flurry of primary market activity although several recent deals had different trajectories in the secondary space.

Arcosa, Inc.’s 4 3/8% senior notes due 2029 (Ba2/BB) and Meritage Homes Corp.’s 3 7/8% senior notes due 2029 (Ba1/BB+/BB+) were putting in strong performances in the aftermarket with both notes trading at a solid premium to their issue prices.

However, Vine Energy Holdings LLC’s 6¾% senior notes due 2029 (B3/B-/B) were growing weak in the aftermarket after trading with a premium on the break.

Goodyear Tire & Rubber Co.’s two tranches of senior notes (B2/B+) also saw a lackluster reception in the secondary space with both tranches wrapped around par heading into the close.

Hunt Cos., Inc.’s 5¼% senior secured notes due 2029 (B2/BB-) continued to trend lower after a weak break.

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