CLO Market Musings: Size and Pricing
Golub Capital has become the largest US CLO manager, managing $40.1 billion in US CLO AUM. Blackstone remains the largest EU CLO manager, closely followed by CVC, with Carlyle holding the third position.
Golub Capital has become the largest US CLO manager, managing $40.1 billion in US CLO AUM. Blackstone remains the largest EU CLO manager, closely followed by CVC, with Carlyle holding the third position.
It is interesting to note that, even among deals with identical AAA pricing, the all-in WACC can vary to a certain extent for US BSL CLO deals priced since mid-January 2024.
As of December 31, 2023, a notable proportion of the 135 managers, each handling over $0.7 billion in US CLO AUM, have been inactive in pricing new issue deals. Specifically, around 40% of these managers have not priced a primary deal in the last six months. In addition, a quarter of them have not engaged in such pricing for over a year, while approximately 15% have remained inactive in this regard for the past two years.
Please see the chart below that displays the median DM pricing of primary US MM CLO AAA-BB tranches...
Please see the chart below that displays the median DM pricing of primary US BSL CLO AAA-BB tranches...
Please see the chart below that displays the DM pricing range (45th to 55th percentile) of primary EU CLO BB tranches...
