Four issuers price $1.6 billion; new Allison, Callon, IMS better; funds plunge $2.45 billion

By Paul Deckelman and Paul A. Harris

New York, Sept. 15 – The high-yield primary market continued to churn out new deals on Thursday, with four issuers bringing modestly sized single-tranche offerings, all as regularly scheduled forward calendar transactions.

Some $1.6 billion of new U.S. dollar-denominated and fully junk-rated paper came to market from domestic or industrialized-country borrowers during the session, syndicate sources said.

Holding company Camelot Finance SA had the big deal of the day, a $500 million offering of eight-year notes. Proceeds will be used to help fund the leveraged acquisition of Thomson Reuters Corp.’s Intellectual Property and Science (IP&S) business.

A pair of energy operators combined for $700 million of new paper – Callon Petroleum Co.’s $400 million of eight-year bonds and Great Western Petroleum LLC’s $300 million of five-year notes.

Communications satellite company Inmarsat plc sent a $400 million eight-year deal aloft.

Other new notes seen doing well in the aftermarket, in busy trading, included both of Wednesday’s new issues – automotive drive-train components maker Allison Transmission Inc.’s $1 billion of eight-year notes and medical industry oriented information technology company IMS Health, Inc.’s $1.75 billion of 10-year notes.

Statistical market performance measures turned mixed on Thursday, after having been lower across the board for a second straight session on Wednesday.

Another numerical indicator turned sharply negative as $2.453 billion left high-yield mutual funds and exchange-traded funds.

© 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.