Leveraged loan market may finally be getting in gear as hedge funds transmit $1bln

Discussion in 'Wall St. News' started by ASusilovic, Sep 12, 2007.

  1. From the WSJ:

    Citigroup, Lehman Brothers and Merrill Lynch have managed to sell $1 billion of loans for Allison Transmission that they were forced to hold when investors wouldn’t bite on them in early August. The debt backs General Motors’ sale of the auto-parts maker to two private-equity firms for about $6 billion.

    The debt sale is one of the largest since Chrysler Financial sold $6 billion of loans in late July, according to Standard & Poor’s Leveraged Commentary & Data. To get the deal done amid the still-rocky state of the credit markets, the banks had to offer the paper to hedge funds and other credit investors at 96 cents on the dollar.


    Back in play...:cool:
  2. .96 cents ROFL....ya great market conditions.