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Loan investors hold the line against co-op bans — for now

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Loan investors hold the line against co-op bans — for now

Dan Mika's avatar
David Bell's avatar
Rachel Butt's avatar
  1. Dan Mika
  2. +David Bell
  3. + 1 more
5 min read

The newest aggressive maneuver by sponsors and issuers in the knives-out world of debt restructuring? Trying to ban lenders from negotiating as a group.

At least four deals in the US syndicated primary market this year tried to insert language into credit agreements that would prevent lenders from joining co-op groups, according to 9fin sources, although there may be others.

Among them were retail holding company WHP Global during a February refinancing and tax compliance software maker Avalara as it refinanced its private debt facility into the BSL market earlier this month.

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