SOVEREIGN DEBT RESTRUCTURING | MASTERCLASS

A deep dive masterclass on sovereign debt restructuring, to be conducted virtually by Asian high yield bond expert Florian Schmidt.

30 June 2022 (Thu), 5pm Singapore/HK time

Struggling American retailer Neiman Marcus is making a return to the capital markets with a new junk dollar bond looking to raise $1bn via a 5Y non-call 2Y first lien bond. The company, which exited Chapter 11 about six months back, has released initial price guidance for the bond at “mid-high 7%s” and is expected to price later today. The proposed issuance is expected to be rated Caa2/CCC+ and is managed by JP Morgan, Bank of America and Goldman Sachs. Proceeds from the issuance are to be used to payback its $125mn first-in, last-out facility and ~$748mn exit term loan and bonds due 2025 that will result in a “modest reduction” in interest as per an S&P report. S&P analysts said, “We continue to view Neiman’s capital structure as unsustainable based on our expectation for pressured performance through fiscal 2021.”

For the full story, click here
Show Buttons
Hide Buttons