A compendium of BDC-related credit developments for June 4, 2020. No huge headlines but there’s news out of two famous bankruptcies in which BDCs remain involved.
The second week of BDC earnings season boosts the sector’s overall price levels as BDC financial structures bend but do not break. However, the uncertainties surrounding the future direction of the economy could still change everything.
The huge BDC rally of the week before came to a halt, but there were plenty of interesting and unusual price and news developments. The BDC Reporter takes this opportunity to worry aloud about what may lie ahead from a credit standpoint in a very uncertain economic, political and financial environment. Read with a stiff drink.
TPG Specialty pens a forthcoming Stakeholder Letter packed with key metrics about the BDC’s current state. The BDC Reporter analyzes the main points of the letter and – along with TPG Specialty itself- offers a view of what the future might hold for BDC lenders generally.
The BDC Reporter describes the terrible, horrible, no good week just passed for the BDC sector, but cannot offer much in the way of immediate hope that we are at a turning point yet. As best we can, we look ahead as the extent of the damage to expect comes – very slowly – into focus. There are elegant solutions available here but will either the Federal government or Wall Street be up to the challenge.
The BDC Reporter – using the resources of Advantage Data and its own research – analyzes BDC exposure to a segment of the oil & gas industry. Second in a series.
The BDC rally is placed on hold by increasing worries about a possible global pandemic. Meanwhile, the third week of BDC earnings season maintains the mostly favorable trends apparent in the prior two weeks.
TPG Specialty performed well in the final quarter of 2019, and made some surprising decisions about its dividend policy. That, and much more was discussed on the BDC’s Conference Call. The BDC Reporter highlights the key points and adds a commentary track.
The stock markets may have pulled back on coronavirus fears but BDC Fixed Income prices did not flinch. Also notable during the week was an unexpected change of heart by a rating group and also one new debt issue and one debt redemption. Looking down the road, we also question how the public BDC debt space might change in the months ahead.
First few days of 2020 for the BDC sector, whose rally seems to be in neutral. Most of the news developments in the period were on the credit front.
We share highlights from the BDC Credit Reporter’s compilation for the week of developments amongst under-performing portfolio companies, naming the BDCs and the amounts involved.
A famous discount retailer gets restructured and three BDCs with more than $50mn of exposure are involved. We re-publish our post from the BDC Reporter and discuss both the credit issues and the valuations involved.