NEW YORK, Aug. 3, 2021 /PRNewswire/ — GoldenTree Loan Management II (“GLM II”) and its affiliated investment manager GoldenTree Asset Management (along with other affiliated investment managers “GoldenTree”), announced the closing of a $640 million collateralized loan obligation (“CLO”) to be managed by GLM II. With the closing of this CLO, GoldenTree Loan Management US CLO 10 (“GLM US CLO 10”), GoldenTree has issued 16 CLOs totaling over $9 billion under its GLM CLO strategy. Since its inception in January 2017, the GLM strategy was intended to be compliant with applicable Risk Retention regulations. While a US Court of Appeals ruling on February 9, 2018 led to repeal of risk retention for open market CLOs, GLM CLOs are intended to continue to comply with European Union and United Kingdom Risk Retention regulations.
GLM US CLO 10 will initially be backed by a 100% ramped $640 million portfolio of senior secured loans as of closing and will have a five-year reinvestment period and a two-year non call period. The CLO was arranged by a bank syndicate including Morgan Stanley as structuring lead, and BofA Securities and Wells Fargo Securities as co-leads. The syndicate globally distributed the rated notes issued by the CLO, while GLM II invested in the CLO’s equity.
GLM US CLO 10 issued $386 million of AAA rated senior notes with a coupon of L+1.10%, along with lower rated senior, mezzanine and junior notes, for an overall weighted average coupon of L+1.70%.
Since its inception in 2000, GoldenTree has issued over $19 billion of CLOs/CBOs, with over $11.5 billion currently outstanding. GoldenTree’s investment team is comprised of over 60 individuals covering over 20 industries and having, on average, 15 years of experience. In addition, GoldenTree has been an active investor in structured credit since 2007 and currently manages over $6 billion of structured products investments across the firm.
GoldenTree is an employee-owned, global asset management firm that specializes in opportunities across the credit universe in sectors such as high yield bonds, leveraged loans, distressed debt, structured products, emerging markets, private equity and credit-themed equities. GoldenTree was founded in 2000 by Steve Tananbaum and is one of the largest independent asset managers focused on credit. GoldenTree manages nearly $45 billion for institutional investors including leading public and corporate pensions, endowments, foundations, insurance companies and sovereign wealth funds. GoldenTree has approximately 250 employees, with offices in New York, London, Singapore, Sydney, Tokyo, Dublin and West Palm Beach. For more information, please visit www.goldentree.com.
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SOURCE GoldenTree Asset Management