Category: 2019

Halcón holders weigh asset sale potential amid oil volatility and looming covenant pressure

Halcón Resources is pushing up against its net leverage covenant as it continues to burn through cash, raising the prospect of asset sales to shore up its balance sheet, according to six sources familiar with the company. Earlier this month, S&P downgraded Halcón to CCC+, citing the possibility of the company breaching the 4x total net…

Read more Halcón holders weigh asset sale potential amid oil volatility and looming covenant pressure

Colfax markets DJO Global acquisition bond on diversification and expected asset sale — Deal Preview

Colfax is pitching its bond-financed acquisition of DJO Global on the expectation that the combined company will be able quickly delever by selling its air and gas handling business, according to six buysiders following the deal. Asset sales aside, however, investors are skeptical of execution risk as industrial manufacturer Colfax integrates DJO, a medical device company, the buysiders…

Read more Colfax markets DJO Global acquisition bond on diversification and expected asset sale — Deal Preview

High yield floodgates open with deluge of drive-bys on the busiest new issue day since September

Investors flocked to drive-by bond deals today, setting up one of the busiest days for high yield new issuance since last fall, according to several buyside and sellside sources. After months of drought amidst broader market volatility and geopolitical uncertainty, the day started with bond deal announcements from MGM Growth Properties, Tenet Healthcare, Albertsons Companies and Vistra Energy. Including several…

Read more High yield floodgates open with deluge of drive-bys on the busiest new issue day since September

Targa Resources tests high yield appetite with upsized bond offering

As the first US issuer to bring a high yield bond since 29 November, the Targa Resources driveby was met with overwhelming demand by investors watching for signs of more deals to come. However, the midstream producer will pay a premium for its oil and gas exposure and for breaking open the paralyzed market, according to multiple buyside and sellside…

Read more Targa Resources tests high yield appetite with upsized bond offering