GLM III and its affiliated investment manager GoldenTree Asset Management closed a $602 million collateralized loan obligation (CLO) to be managed by GLM III. With the closing of this CLO, GoldenTree Loan Management US CLO 29 (GLM US CLO 29), GoldenTree has issued 38 CLOs totaling over $21 billion under its GLM CLO strategy.
GLM US CLO 29 will initially be backed by a 98% ramped $591 million portfolio of primarily 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 BofA Securities as sole lead. The arranger distributed the investment grade and BB- rated notes issued by the CLO, while GLM III invested in the CLO’s equity as well as B- rated notes.
GLM US CLO 29 issued $384 million of senior AAA rated debt with a coupon of S+1.23%, along with junior AAA rated notes and other lower rated senior, mezzanine and junior notes, for an overall weighted average coupon of S+1.71%.
