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KPMG's Capital Advisory Q1 2013 Credit Markets Quarterly Update

Apr 12, 2013
From the Global Enterprise Institute

Our Capital Advisory practice is pleased to announce its Q1 2013 Credit Markets Quarterly Update. It provides a snapshot of Q1 2013 credit market activity, including a general overview, trends, pricing and structures.

Key insights from the Q1 2013 newsletter include:

  • New-issue loan volume reached a post-credit crunch high of $185.2 billion in Q1 2013, a 35-percent increase from the $136.0 billion new-issue volume posted during Q4 2012 and a 61-percent increase from the Q1 2012, when new-issue volume reached $115.1 billion
  • Massive liquidity injections from Collateralized Loan Obligations (CLOs) and mutual funds sent yields markedly lower in the first quarter, reducing pricing and making loan terms more attractive. This set off a wave of opportunistic refinancing, largely by institutions
  • Dividend recaps remain active as private equity firms monetize gains and provide distributions to their limited partners amid the slow pace of IPO exits and sponsor-to-sponsor deals

Read KPMG's Capital Advisory Q1 2013 Credit Markets Quarterly Update