Ratings Assigned To Five Classes From BlueMountain CLO 2016-1 Ltd. In Connection With Refinancing

Stocks and Financial Services Press Releases Tuesday June 5, 2018 10:11
CENTENNIAL--5 Jun--S&P Global Ratings

CENTENNIAL (S&P Global Ratings) June 4, 2018--S&P Global Ratings today assigned its ratings to the class A-R, B-R, C-R, D-R, and E-R replacement notes from BlueMountain CLO 2016-1 Ltd., a collateralized loan obligation (CLO) originally issued in 2016 that is managed by BlueMountain Capital Management LLC. We withdrew our ratings on the class A, B, C, D, and E notes following payment in full on the June 4, 2018, refinancing date (see list).

The ratings reflect our opinion that the credit support available is commensurate with the associated rating levels.

On the June 4, 2018, refinancing date, the proceeds from the issuance of the replacement notes were used to redeem the original notes. Therefore, we withdrew our ratings on the refinanced notes in line with their full redemption, and we are assigning ratings to the replacement notes.

Based on provisions in the supplemental indenture:
  • The replacement class A-R, B-R, C-R, D-R, and E-R notes are issued at lower spreads than the original notes.
  • The non-call period will be extended to June 2019.
  • The weighted average life test date will be extended to 6.5 years after the deal closes.

Our review of this transaction included a cash flow analysis, based on the portfolio and transaction as reflected in the trustee report, to estimate future performance. In line with our criteria, our cash flow scenarios applied forward-looking assumptions on the expected timing and pattern of defaults, and recoveries upon default, under various interest rate and macroeconomic scenarios. In addition, our analysis considered the transaction's ability to pay timely interest or ultimate principal, or both, to each of the rated tranches.

We will continue to review whether, in our view, the ratings assigned to the notes remain consistent with the credit enhancement available to support them, and we will take further rating actions as we deem necessary.


Latest Press Release

mai welcomes real estate developer CMC on November 19

Market for Alternative Investment (mai) will list Chaoprayamahanakorn pcl, a leading real estate developer onNovember 19, under the ticker symbol "CMC". The company has a market capitalization at its initial public offering (IPO) of THB 3.00 billion...

KTC - Chilito Mexican Grill - Farm Factory provide members special privileges for payments made using QR Pay in the KTC Mobile app.

Mrs. Pranaya Nithananon, Vice President - Credit Card Business, "KTC" or Krungthai Card Public Company Limited, provides KTC VISA and KTC MasterCard credit card members who make payments through KTC QR Pay in the "KTC Mobile" app worth Bt. 300 or more...

Photo Release: KBank opens new flagship branch and THE WISDOM Lounge at ICONSIAM

Mr. Wirawat Panthawangkul (3rd from left), KBank Senior Executive Vice President, and Ms. Chadatip Chutrakul (4th from left), Director of ICONSIAM Co., Ltd., and Chief Executive Officer of Siam Piwat Co., Ltd., participated in the opening ceremony of...

Photo Release: CIMB Group Joins RippleNet to Power Instant Payments Across ASEAN

Tengku Dato' Sri Zafrul Aziz, Group CEO of CIMB Group (right), and Brad Garlinghouse, Ripple CEO (left) commemorating the strategic collaboration between CIMB Group and Ripple to power instant payments across ASEAN at the Singapore FinTech festival 2018...

CIMB Group Joins RippleNet to Power Instant Payments Across ASEAN

CIMB is one of the first banks to leverage blockchain technology to tap into region's USD120 billion remittance business CIMB Group ("CIMB" or "the Group") and Ripple have entered into a strategic collaboration to enable instant cross border payments...

Related Topics