GoldenTree Loan Management LP and its affiliated investment manager, GoldenTree Asset Management LP, closed a $603 million collateralized loan obligation.
GoldenTree Loan Management US CLO 5, which will be managed by GoldenTree Loan Management, will initially be backed by a 98% ramped $588 million portfolio of senior secured loans as of closing. It will have a five-year reinvestment period and a two-year noncall period.
The CLO issued $381 million of AAA-rated senior notes with a coupon of L+1.30%, along with lower-rated senior, mezzanine and junior notes, for an overall weighted average coupon of L+1.91%.
The CLO was arranged by a bank syndicate including Wells Fargo Securities as structuring lead, and Bank of America Merrill Lynch and Morgan Stanley as co-leads.
