Junk bonds: Vail Resorts, Encino Acquisition drive by; Citrix rises; Uniti comes in

By Paul A. Harris and Abigail W. Adams

Portland, Me., April 24 – The domestic high-yield primary market returned to action on Wednesday with drive-by deals from Encino Acquisition Partners Holdings, LLC and Vail Resorts, Inc. clearing the market.

While Tenneco Inc. had planned on pricing a $364.5 million offering of 5.5-year senior bullet notes the offering was pulled with a single investor taking down the whole amount.

Meanwhile, the secondary space was again soft on Wednesday after wiping out losses from the previous week over the past two sessions.

Earnings-related and topical news were the driving force of volume as market players awaited the deals in the pipeline to break for trade.

Tenneco’s 8% senior secured notes due 2028 (B1/B) were on the rise in heavy volume on the back of the company’s latest offering to clear its bridge loan.

Cloud Software Group Holdings Inc.’s (Citrix) 9% second-lien notes due 2029 (Caa2/B-) and Citrix Systems Inc./Tibco Software Inc.’s 6˝% senior secured first-lien notes due 2029 (B2/B), also hung debt deals, were in focus with the notes improved in heavy volume.

Uniti Group LP’s senior notes also continued to see activity after the large gains of the previous session.

While the company’s 6˝% senior notes due 2029 (Caa2/CCC) gave back some gains after a meteoric rise on Tuesday, the 10˝% senior secured notes due 2028 (B2/B) were holding on to their gains in heavy volume.

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