From the WSJ:
Citigroup, Lehman Brothers and Merrill Lynch have managed to sell $1 billion of loans for Allison Transmission that they were forced to hold when investors wouldnât bite on them in early August. The debt backs General Motorsâ sale of the auto-parts maker to two private-equity firms for about $6 billion.
The debt sale is one of the largest since Chrysler Financial sold $6 billion of loans in late July, according to Standard & Poorâs Leveraged Commentary & Data. To get the deal done amid the still-rocky state of the credit markets, the banks had to offer the paper to hedge funds and other credit investors at 96 cents on the dollar.
http://blogs.wsj.com/deals/2007/09/11/hedge-funds-transmit-1-billion-to-allison/
Back in play...
Citigroup, Lehman Brothers and Merrill Lynch have managed to sell $1 billion of loans for Allison Transmission that they were forced to hold when investors wouldnât bite on them in early August. The debt backs General Motorsâ sale of the auto-parts maker to two private-equity firms for about $6 billion.
The debt sale is one of the largest since Chrysler Financial sold $6 billion of loans in late July, according to Standard & Poorâs Leveraged Commentary & Data. To get the deal done amid the still-rocky state of the credit markets, the banks had to offer the paper to hedge funds and other credit investors at 96 cents on the dollar.
http://blogs.wsj.com/deals/2007/09/11/hedge-funds-transmit-1-billion-to-allison/
Back in play...