McDermott launches; Freedom Mortgage, American Greeting on tap; Tesla rises; Charter drops

By Paul A. Harris and Abigail W. Adams

Portland, Me., April 3 – There was low news volume from the primary market on Tuesday with no high-yield deals pricing on the day.

While expected to price on Tuesday, new deals from McDermott International Inc. and American Greetings Corp. were delayed.

Freedom Mortgage Corp. started a one-day roadshow for a $500 million offering, which is expected to price on Wednesday.

While new paper has not yet entered into Junkbondland this week, Ply Gem Holdings Inc.’s 8% senior notes due 2026, which priced on March 29, continued to perform well in active trading.

Tesla Inc.’s 5.3% senior unsecured notes due 2025 (Caa1/B-) were again the major volume movers of the secondary space on Tuesday, this time with the notes rebounding more than 2 points.

While Tesla rebounded, Charter Communications Inc.’s junk bonds dropped 1 to 2 points with the telecommunications company pricing $2.5 billion in new investment grade notes and negative headlines piling up.

Daily cash outflows of high-yield bond funds were negative on Monday with cash being put to work in high-yields slowing, a market source said.

© 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.