CLO refinancings resume; TCW refinances 2018-1 CLO; Fortress, MJX, Redding Ridge on tap

By Cristal Cody

Tupelo, Miss., July 28 – After a standstill following the start of the Covid-19 pandemic in March, CLO refinancing action is resuming in July, sources report.

The TCW Group refinanced $90 million of notes from a vintage 2018 CLO transaction.

Meanwhile, Fortress Investment Group LLC affiliate FCOD CLO Management LLC plans to refinance one tranche of notes from a vintage 2017 middle-market CLO.

In addition, MJX Asset Management LLC is considering repricing notes from two vintage 2017 broadly syndicated CLOs.

Looking at the new issue market, Redding Ridge Asset Management, LLC joins the deal pipeline with a $388.3 million broadly syndicated CLO offering.

About $42 billion of new CLOs and nearly $24 billion of vintage CLOs have been refinanced year to date, according to market sources.

TCW prices $90 million

The TCW Group priced $90 million of notes due April 25, 2031 in the refinancing, according to market sources.

TCW CLO 2018-1, Ltd./TCW CLO 2018-1 LLC sold $18.75 million of 1.92% class A-1b-R1 fixed-rate notes at the top of the capital stack.

Natixis Securities Americas LLC was the refinancing placement agent.

TCW Group subsidiary TCW Asset Management Co. LLC will continue to manage the CLO.

The original $408.6 million offering was issued May 14, 2018.

The CLO is backed primarily by broadly syndicated first-lien senior secured loans.

The global asset management company is based in Los Angeles.

Fortress to refinance CLO

FCOD CLO Management plans to refinance one tranche of notes from the vintage 2017 Fortress Credit Opportunities IX CLO Ltd./Fortress Credit Opportunities IX CLO LLC middle-market transaction, according to a notice of proposed supplemental indenture on Monday.

The 3.65% class A-1F fixed-rate notes will be refinanced on Aug. 17.

The notes were originally issued in a $100 million tranche in the Fortress Credit Opportunities IX offering on Nov. 15, 2017.

Natixis Securities Americas LLC is the refinancing placement agent.

The notes are due Nov. 15, 2029.

The deal is backed primarily by middle-market senior secured corporate loans.

New York-based Fortress Investment Group has priced one new middle-market CLO year to date.

MJX considers repricing

MJX Asset Management is considering a potential repricing of notes from two CLO deals, according to notices on Monday.

Venture XXVIII CLO, Ltd./Venture XXVIII CLO, LLC plans to reprice the class B-F notes and/or the class C-F notes.

Venture XXVIII sold $22,131,579 of 3.8% class B-F senior secured fixed-rate notes and $16,842,106 of 4.5% class C-F mezzanine secured deferrable fixed-rate notes as part of the original $537,100,003 offering issued July 18, 2017.

The notes are due July 20, 2030.

Venture 28A CLO, Ltd./Venture 28A CLO, LLC plans to reprice its class B-F notes and/or the class C-F notes.

Venture 28A was originally issued on July 28, 2017.

The CLO had sold $42.5 million of 3.92% class B-F senior secured fixed-rate notes and $12.6 million of 4.6% class C-F mezzanine secured deferrable fixed-rate notes.

The notes are due in October 2029.

MJX affiliate MJX Venture Management II LLC is the CLO manager of both transactions.

The CLOs are backed primarily by broadly syndicated first-lien senior secured corporate loans.

The asset management firm is based in New York City.

Redding Ridge to price

In the new issue, Redding Ridge Asset Management is offering a $388.3 million broadly syndicated CLO, according to market sources.

The RR 11 Ltd./RR 11 LLC deal includes $240 million of class A-1 senior secured floating-rate notes (Aaa/AAA), $48 million of class A-2 senior secured floating-rate notes (AA), $40 million of class B senior secured deferrable floating-rate notes (A), $20 million of class C senior secured deferrable floating-rate notes (BBB-), $14 million of class D secured deferrable floating-rate notes (BB-) and $26.3 million of subordinated notes.

BNP Paribas Securities Corp. is the placement agent.

The notes are due Oct. 15, 2031.

The transaction is collateralized primarily by broadly syndicated first-lien senior secured loans.

The offering is expected to close Sept. 10.

Redding Ridge Asset Management has priced three new CLOs and issued four CLOs year to date.

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

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