Commentary & Deal Flow

The US high yield new issue market remains steady with one mandate added to the calendar this morning and two deals from the calendar pricing today. 

Pricing today in the US high yield primary market are Select Water Holdings LLC $800m 8yNC3 sr notes, price talk 7.50%-7.75% (vs IPT of 7.75-8.00%), originally pricing on Thursday; and  INEOS Energy Finance plc (INEGRP) US$700m 5yNC2 sr notes, price talk 9.25% area (vs IPT of mid-to-low 9s), also accelerated from pricing late this week. 

Also the Australian metallurgical coal producer Gear M NSW Pty Ltd announced out of APAC overnight that it has mandated Barc/BofA/DB to arrange a series of fixed income investor meetings across Asia Pacific, Europe, and the US starting tomorrow, Oct 15, A US$500m 5yNC2 partially amortizing (4.6y WAL) 144A/Reg S sr sec note issue may follow, subject to market conditions.

The European high yield new issue market is also maintaining a steady pace. While no new issues were announced today, the market is actively working on pricing one deal on its calendar. 

Pricing today in Europe is Paprec Holding SA EUR525m (up from EUR425m) 5yNC2 green sr sec notes, final yield 6.00% (vs price talk of 6% area (+/-12.5bp) WPIR and IPT of low-to-mid 6s). 

Still on the European calendar is Circet Oversight SAS EUR500m 7yNC3 sr sec notes (IPT mid-high 7s), now likely pricing tomorrow. 

The US high yield secondary market is extending losses after this morning’s hotter than expected CPI report. Core CPI MoM advanced 0.3% (vs 0.2% expected), YoY CPI advanced 3.7% (vs 3.6% expected), and YoY Core CPI was up 2.6% (vs 2.5% estimated). UST yields are gapping higher (10y UST yield +6bps to 5.27%), while stocks are little changed or weaker (DJIA -66; S&P -56; NASDAQ -279). The US high yield secondary market is down a 1/4 - 3/8 of a point after the CPI numbers. 

The CDX HY46 is down a 1/4 point to 106.368.

Yesterday’s new issue Buckeye is also weaker following the broader market, it is trading down an 1/8 of a point from yesterday’s close. 

CFR High Yield Forward Calendar

===================== [ 10/12/2026 Week ] ===============

Paprec Holding (PAPREC) EUR525m (up from EUR425m) 144A/Reg S green 1st lien sr sec notes due 2031 (5y). NC2 (MWC B+50bp) (50%,25%,par). Equity claw: 2y 40%. Special call: 10% per year the first 2 years at 103. NR/BB/BB+ (stable/stable). Via CA (B&D)/Natixis/SocGen jt glocos and physical books. No reg rights. List ISE. NY law. CoC at 101. Denoms: 100kx1k. IPT: Low to mid 6s. Price talk: 6% area (+/-12.5bp) WPIR. Final terms: EUR525m at 6.00%. Investor call at 10:30am UKT / 11:30am CET 10/13 (also did fixed income investor meetings 10/13-14). Books closed 1:30pm UKT / 2:30pm CET 10/14. Reconfirmations were due 3:30pm UKT / 4:30pm CET 10/14. Pricing 10/14. UOP: Proceeds from the offering will be used to refinance the EUR421.5m 3.50% green sr sec 1st lien notes due 01-July-2028 (callable at 100) and pay certain fees and expenses in connection with the offering. The upsize will be used for general corporate purposes including to partially fund the Marius Pedersen acquisitions. An amount equivalent to the net proceeds will be allocated in accordance with the Green Bond Framework 2026. Equity owners: JLPP Entrepreneurs (Petithuguerin Family) 53.8%, Vauban 20%, Bpifrance Participation 18.5%, Credit Agricole Assurances Infrastructure 5.7%, others 2.0%. Biz: Family-owned waste management company, specialized in recycling and waste-to-energy activities from private and public customers, with leading positions across the waste management value chain in Europe. HQ: Paris, France.

Evercall GIC direct link: https://evercall.co/oacc/70770. DealRoadshow direct link: https://dealroadshow.finsight.com/e/GreenFuture26. 

Select Water Holdings LLC (WTTR) $800m 144A/Reg S sr notes due 2034 (8y). NC3 (MWC T+50bp) (50%, 25%, par). Equity claw: 2y 40%. B1/BB/BB (stable/stable/stable). Partial SMR at 100 on the then outstanding amount of notes less $450m if the Pilot Water acquisition has not closed by 03/01/27. Via JPM/BofA jt active books/Cap One/Citi/Hunt/MUFG/Texas Cap/WFS jt books, Zions as co-manager. No reg rights. CoC at 101. Denoms 2kx1k. IPT: 7.75-8.00%. Price talk: 7.50%-7.75%. Did investor call at 11am 10/13. Books close 2:30pm 10/14. Now pricing 10/14 (originally pricing 10/15). UOP: together with $22m cash on hand and $62m draw on a new $5000m draw on its new $500m revolving credit facility, to fund the Pilot Water acquisition for $600m in cash (also $100m WTTR class A common shares), and repay certain existing indebtedness of Pilot Water, repay the $250m outstandings under the term loan facility in full, and GCP. Biz: Leading provider of sustainable full-life cycle water solutions to the energy industry, and an emerging water infrastructure solutions provider to municipal and industrial markets. HQ: Gainesville, FL. (Acquisition announced 09/24/2026).

DealRoadshow direct link: https://dealroadshow.finsight.com/e/WTTRBOND2026. Entry code: WTTRBOND2026. OM: https://verisend.com/explore 

INEOS Energy Finance plc (INEGRP) US$700m 144A/Reg S sr notes due 2031 (5y). NC2 (MWC T+50bp) (50%,25%,par). Equity claw: 2y 40%. Special call: 10% per year the first 2 years at 103. NR/BB-/BB- (--/stable/stable). Via JPM (sole physical books)/DB/DNB Carnegie jt glocos/Barc/First Abu Dhabi Bank/GS/ING/MIzuho/MUFG/NatWest/WFS jt books. No reg rights. List ISE. NY law. CoC at 101. Denoms: 200x1. IPT: low-to-mid 9s. Price talk: 9.25% area. Roadshow (small group meetings) 13-14 Oct (originally ending Oct 15) (investor call at 3pm UKT / 10am NYT 13-Oct). Books close at 11:45am NYT / 4:45pm UKT 14 Oct. Pricing 14-Oct NY afternoon. UOP: repay $469m term loan A, $100m shareholder distribution, and $116m cash to the B/S. Biz: an oil and gas E&P company in the US onshore, US Gulf, UK offshore and Denmark offshore. HQ: Lyndhurst, Hampshire, UK. It is a sub of INEO Energy E&P Holdings II Ltd, which is an indirect sub of INEOS Ltd. The INEOS Group is a global manufacturer of petrochemicals, specialty chemicals and oil products. HQ: London, UK.

Global investor call Registration link: 

https://urldefense.com/v3/__https:/www.netroadshow.com/events/login/1PeTHmohEiRVBdYsBkcf8Y1KIGZA4L6jKvS7t__;!!KtHZpw!BINGPYqK6bpWWDI_yPH3tQud_F5kAIYfRxf05_jubuu_lDNPvBAZWVWLWlZgWELGVc6240ZuhqxcoYQlsoaz7fvFcBQOAg$.

Netroadshow direct link: http://www.netroadshow.com/nrs/home/#!/?show=ad953cde. Entry code: Ineos26. 

Circet Oversight SAS (Circet) (CIRDEV) EUR500m 144A/Reg S sr sec notes NC3 (MWC B+0bp) (50%,25%,par). Equity claw: 3y 40%. Special call: 10% per year the first 3 years at 103. B1/B+ (stable/stable). Via BNP (B&D)/DB jt glocos and physical books/BofA/CA/JPM/NTX/NOM jt glocos/Citi/GS/HSBC/MUFG/NatWest/RBC/SocGen jt books. List TISE. NY law. CoC at 101. Denoms: 100kx1k. Settles T+10. IPT: mid-high 7s. Did investor call (GIC) at 10:30am UKT / 11:30am CEST 10/12 (also fixed income investor meetings 10/12-10/13). Pricing 10/15 (originally pricing 10/14). UOP: fund recap of the renewed partnership between Circet's management and ICG plc. Along with up to EUR2.1bn  and minimum USD500m TLBs (total deal size EUR3bn equivalent, including the sr sec notes), to repay existing debt in connection with the renewed partnership with ICG; EUR75m to pre-fund already signed M&A, and EUR177m for GCP. Circet's management will rollover its existing equity and acquire new equity for a total stake of EUR1.736bn (51%), ICG will rollover a portion of its existing equity from its current Fund VII to its newly raised Fund IX and Co-Investment Fund for a new equity stake in Circet of EUR1.63bn (49%). Biz: Global leader in telecom, digital and energy network infrastructure services across Europe and the United States. HQ: Sollies-Pont, France.

NetRoadshow registration link: https://www.netroadshow.com/nrs/home/#!/?show=67319314 Access Code: circet2026.

GIC registration link: https://www.netroadshow.com/events/login/1PeTHmohQuJCFOVAh4cubvZuZAEJrcolCTZkG.

Strive Inc (ASST) $500m SEC registered 15% Series A perpetual preferred stock, 5m shares at $100 (liquidation preference initially $100). NCL except for certain adverse tax scenarios or if <25% of the number of shares of SATS issued in this offering or in any future offering remain outstanding. Redemption price is equal to the Liquidation Preference as of the business day before the date the related redemption notice is sent, plus accumulated and unpaid regular dividends, if any, that will have accrued to, and including, the redemption date. Unrated. Ranking: Senior to dividend and liquidation junior stock, including Class A and Class B common stock. Junior to liquidation and dividend senior stock, including SATA perpetual preferred stock, as well as any future indebtedness of Strive. Structurally junior to any obligations and capital stock of Strive's subsidiaries.Via Barc/Cantor jt books, Clear Street as lead manager, B. Riley/H.C. Wainwright/Maxim/StoneX as co-managers. Fixed Dividend: cumulative dividends at 15.00% per annum on the Stated Amount, payable every business day beginning on November 9, 2026, in cash when, as and if declared by Strive’s board of directors, out of funds legally available for payment. The issuer cannot pay any dividends on common stock if it has not made the most recent business-day dividend payment on SATS. Settles T+2. Small group meetings 10/14-10/15. Pricing 10/16. UOP: GCP, including the acquisition of bitcoin and bitcoin-related products, working capital, purchase of income generating assets to grow business, other capital expenditures, and/or repurchases of shares of Class A common stock or SATA stock, and fund acquisitions of businesses, assets or technologies. Biz: a structured finance company focused on disciplined capital allocation and long term value creation. They have strategically adopted bitcoin as its hurdle rate for capital deployment because of our fiduciary duty to maximize  long-term value for stockholders and compound purchasing power over time. Strive Asset Management, LLC, a direct, wholly owned subsidiary of Strive and an SEC-registered investment adviser, manages over $2.8 billion in assets. HQ: Dallas, TX.

Netroadshow direct link: www.netroadshow.com/nrs/home/#!/?show=e14945c9. Entry code: SATS2026. 

Gear M NSW HCC Pty Ltd (GM3), Rated B+ (Stable) by S&P and B+ (Stable) by Fitch, has mandated Barc/BOFA/DB as joint global coordinators and joint bookrunners, and Mandiri Securities as joint bookrunner to arrange a series of fixed income investor meetings across Asia Pacific, Europe and the United States, commencing on Oct 15. DB is the logistics coordinator globally. An offering of US$500m 5yNC2 senior secured partially amortizing (WAL ~4.6y) fixed rate 144A/Reg S notes may follow, subject to  market conditions. The notes are rated BB- by S&P and BB- by Fitch. The net proceeds from the offering of the notes, together with proceeds from a new US$100m term loan and existing liquidity, are intended to repay all outstanding amounts under the US$600m private credit acquisition term loan facility and cancel the acquisition facility in full. 

GM3 is a leading Australian premium metallurgical coal producer, with key shareholders including Golden Energy and Resources Pte Ltd (c.51%), JSW Steel (c.30%), Posco (c.12%) and M Resources (c.7%). GM3, formerly Illawarra Metallurgical Coal, was acquired from South32 in 2024 for $1.65 billion by a consortium of Indonesia’s Widjaja family-controlled Golden Energy and Resources Ltd and Australian miner M Resources Ltd. It is headquartered in Brisbane, Australia. 

====================== [ October ] ===============

ConitTech EUR400m minimum sr sec notes. Expect B1/B/BB- (stable/stable/stable). Oct biz (lender call 2pm UKT/9am NYT 13-Oct; commitments due EUR 12pm UKT 21-Oct; US$ 5pm NYT 20-Oct). UOP: total deal size EUR2.35bn equivalent, along with EUR500m minimum and US$750m minimum sr sec term loan B via Barc + others, to fund the acquisition of ContiTech from Continental AG by Lone Star Funds for EUR4bn and fund cash to the B/S. Biz: leading pure-play producer of engineered rubber and thermoplastic products for industrial end markets worldwide. HQ: Hanover, Germany. (Acquisition announced 06-July-2026).

====================== [ 2026 / 2027 ] ===============

The Brink's Co (BCO) $2.124bn sr notes. Via MS. (Existing sr unsec notes were affirmed at Ba3/BB/BB+ (stable/stable/stable)). UOP: along with cash on hand, to fund the acquisition of NCR Atleos Corp (NATL) for $6.6bn implied value, consisting of $2.2m in cash ($30.00 per share in cash) and 13.3m BCO cmn shares (0.1574 cmn share of BCO per NATL share) ($50.40 per share total implied value), and the assumption of $2.6bn NATL debt. MS has provided a $2.124n bridge loan to fund the cash portion and refinance NATL's debt (BCO will also use cash on hand) (The bridge loan originally was $4.5bn total size consisting of $2.276bn sr unsec bridge loan to fund the cash portion of the acquisition, $873m sr sec bridge loan backstopping the amend and extend of NCR Atleos term loan A with BofA, and $1.35bn sr sec bridge loan backstopping the $1.35bn 9.50% sr sec notes due 2029, in case Brink's and NCR Atleos do not receive the requisite consents from the noteholders to keep the bond outstanding). Closing is expected in Q1 2027. Biz: provider of cash management, secure logistics and security services. HQ: Richmond, VA. (Acquisition announced 02/26/2026).

++++09/11/2026 update: The UK Competition and Markets Authority initiated its first-phase inquiry into the acquisition.

++++06/30/26 update: BCO and NATL shareholders approve the merger.

++++05/12/26 update: the FTC granted early termination of the HSR waiting period.

+++04/07/26 update: on 03/31/36 Brink's increased its existing $2.225bn term loan A with a new $1.025bn delayed-draw term loan via BofA and increased its revolver by $600m. This financing will replace a portion of the bridge loan.

+++03/11/26 update: NCR Atleos announced they had received the requisite consents and amended the CoC definition on its 9.50% sr sec notes due 2029.

+++03/05/26 update: NCR Atleos Corp commenced a consent solicitation with respect to its $1.35bn 9.50% sr sec notes due 2029. The Proposed Amendments seek to amend the defined term “Change of Control” to provide that the Mergers will not constitute a Change of Control and to add or amend certain other defined terms contained in the Indenture related to the foregoing.

The amended and restated credit agreement increases the size of the existing credit facility from $2.225 billion to $3.85 billion. The increase is structured as a $1.025 billion delayed draw term loan and a $600 million increased revolving credit commitment, and the proceeds are intended to be used to fund part of the cash consideration for Brink’s potential acquisition of NCR Atleos Corporation (“NCR Atleos”), refinance indebtedness of NCR Atleos, and fund general corporate purposes. The amended and restated credit agreement will mature on March 31, 2031. Pricing is expected to remain at Term SOFR + 150 basis points through the consummation of Brink’s proposed acquisition of NCR Atleos, subject to Brink’s consolidated net leverage ratio in accordance with the terms of the amended and restated credit agreement. The acquisition remains subject to customary closing conditions, including regulatory approval and shareholder approvals from both companies.

Fertitta Gaming/Caesars Entertainment Inc (FRTITA) $1.675bn sr sec notes. UOP: along with $500m sr sec incremental term loan A-1, $1.675bn sr sec incremental term loan B-2, and $750m 1y sr sec bridge loan (also $2bn revolver), to fund the acquisition of Caesars Entertainment Inc (CZR) by Fertitta Entertainment Inc for $31.00 per share in cash representing an equity value of $5.7bn or an enterprise value of $17.6bn including the assumption of approx $11.9bn net debt. Fertitta plans on funding the transaction with $2.7bn equity financing provided by Fertitta Entertainment and committed debt financing obtained from 10 banks. MS/GS are financial advisors to Fertitta. The new entity will be a wholly owned sub of Fertitta Gaming Holdco LLC. Biz: gaming, entertainment, and restaurants. HQ: Houston, TX. (Acquisition announced 05/28/2026).

Rocket Lab Corp (RKLB) US$ TBD notes. UOP: to fund the acquisition of Iridium Communications Inc (IRDM) for $54 per share ($27.00 in cash and the rest in RLKB shares) for a total enterprise value of approx $8bn. DB/WFS have committed to provide a $3.6bn 1 year bridge loan to backstop the financing of the deal, which is expected to consist of debt and equity financing and cash on hand. Biz: a leading space company that provides launch services, spacecraft, payloads and satellite components serving commercial, government, and national security markets. HQ: Long Beach, CA. (Acquisition announced 06/29/26).

+++08/13/26 update: HSR period has lapsed. RKLB and IRDM are seeking to amend IRDM's $1.75bn term loan, which would allow it to remain in place. This would reduce the bridge loan. RKLB also announced a new $1.944bn at-the-market equity program. Amounts raised there will also reduce the commitments under the bridge loan.

Dream Finders Homes Inc (DFH) up to $900m sr notes. B1/BB-//BB- (review for downgrade/Watch negative/negative). Via BofA/GS. UOP: along with a $800m Land Bank Facility with Lewis Investment Management, $450m of $1,000 pfd equity and possibly other common equity, to fund the acquisition of Beazer Homes USA Inc (BZH) for $33.50 per share in cash or a total enterprise value of $2.2bn. BofA/GS are providing a $900m bridge loan to backstop the permanent sr note and possible common equity financing. Closing is expected in Q4 2026. Biz: single-family homebuilder. HQ: Jacksonville, FL. (Acquisition announced 08/07/26). 

++++09/09/2026 update: Dream Finders announces that it is soliciting consents from Beazer Homes bondholders to amend the indenture to eliminate the CoC provision for this acquisition.

Curium US Holdings LLC possible bonds. UOP: along with new equity financing, to fund the acquisition of Lantheus Holdings Inc (LNTH) for $102.50 per share in cash, plus another potential CVR of $12 per share or potential total consideration of approx $12bn. Jefferies is lead financial advisor to Curium, along with JPM and PTT PartnersClosing is expected in Q2 2027. Equity sponsor: CapVest Partners.  Biz: a leading global radiopharmaceutical company. HQ: Bedford, MA. (Acquisition announced 08/03/2026).

Solstice Advanced Materials Inc (SOL, SOLADV) $ TBD notes. (existing sr unsec Ba2/BB+/ BB+ (stable/Watch negative/Watch negative)). Via GS. UOP: along with cash on hand, to fund the acquisition of Element Solutions Inc (ESI) for $50.10 per share in a cash and stock transaction for a total valuation of $14.5bn including the assumption of net debt. Element shareholders will own around 44% of the combined company. The transaction consists of $10.00 per share in cash and 0.500 in Solstice shares per ESI share. Solstice obtained a $4.7bn bridge facility via GS to help fund the cash portion of the transaction. Closing is expected in H1 2027.  Biz: is a global, differentiated advanced materials company and a leading global provider of refrigerants, semiconductor materials, protective fibers and healthcare packaging. HQ: Morris Plains, NJ.  (Acquisition announced 07/06/2026).

Nuvei Corp US$750m sr sec notes. UOP: along with $1.5bn sr sec term loan, to fund the acquisition of Payoneer (PAYO) for US$7.40 per share in cash or a total equity value of approx $2.75bn. BMO/RBC/Barc/UBS/WFS are providing $2.7bn committed financing for the transaction (including $200m cash flow bridge loan and $250m incremental revolver). Closing is expected mid 2027. Biz: develops electronic payment infrastructure. HQ: Montreal, QC. (Acquisition announced 06/15/26).

Dana Inc (DAN) $ TBD notes. UOP: fund the Reverse Morris Trust merger with Eaton's mobility business with an enterprise value of $5.1bn (the combined company will have an enterprise value of over $10bn). Dana will pay a $1.1bn distribution to Eaton. Eaton shareholders will own at least 50.1% and Dana shareholders will own approximately 49.9% of the combined company at closing. GS has committed to provide a $2.6bn bridge loan backstop the $1.1bn distribution and repay certain existing Dana debt. The permanent financing is expected to include term loans and sr notes. Closing is expected in Q1 of 2027. (Acquisition announced 06/11/26).

Veris Residential Inc (VRE) $2.08bn notes. UOP: repay the $2.08bn bridge loan incurred to fund the acquisition of Veris for $19.00 per share in cash ($3.4bn enterprise value) by Affinius Capital and Vista Hill Partners, which contributed $1.07bn in cash equity. GS/UBS provided the $2.08bn bridge loan. Biz: a REIT that primarily owns, operates, acquires and develops premier Class A multifamily properties in the Northeast US. HQ: Jersey City, NJ. (Acquisition announced 02/23/26. Closed 05/27/26).

Hapag-Lloyd AG (HPLGR) up to US$2.5bn notes. Existing sr unsec Ba1/BB+. UOP: along with cash on hand, to fund the acquisition of ZIM Integrated Shipping Services Ltd for US$35.00 per share in cash or approx US$4.2bn total consideration. Closing is expected by the end of 2026. Biz: leading liner shipping company. HQ: Hamburg, Germany. (Acquisition announced 02/16/26). 

++++08/10/26 update: the Israeli government meeting to review the sale of ZIM has been postponed to 09/09/26 with the majority currently expected to oppose the sale.

Option Care Health Inc (OPCH) possible notes. UOP: fund the acquisition of Option Care Health (B2/B) by McKesson Corp (MCK) (A3/BBB+/A-) and CD&R for $32.05 per share in cash representing an enterprise value of $5.8bn. Option Care Health will remain a separate company, led by its own management. CD&R will hold a majority interest of approximately 51% in Option Care Health and McKesson will invest approximately $1.4 billion for a minority interest of approximately 49%. The  transaction also establishes a framework for McKesson’s future acquisition of CD&R’s interest in Option Care Health, subject to specified conditions and regulatory approvals. Following the closing of the transaction, McKesson intends to account for its minority interest in Option Care Health using the  equity method of accounting, recording its share of Option Care Health’s net  income or loss in Other Income, net. The parties have obtained an equity commitment letter of $2.873bn ($1.4bn from McKesson and $1.475 from CD&R) and a debt commitment letter of up to $3.15bn from BofA/Barc/GS/Jefferies/WFS, as well as up to $500m in revolving commitments to help fund the purchase price. Closing is expected in H1 2026. Biz: is the nation’s largest independent provider of home and  alternate site infusion services. HQ: Bannockburn, IL (Acquisition announced 10/06/2026).

The Boots Group possible notes. UOP: fund Wittington Investments Ltd (the investment holding company of the Weston Family) acquisition of a 50% interest (with operational control) in Boots (retail operations in the UK and Ireland, and a pharmaceutical whole business in Germany) from Sycamore Partners and the Pessina family for $8.9bn total purchase price including assumed debt. Fairfax Financial will partner with Wittington and buy a 50% equity stake for $2.3bn. CIBC and MS are providing the acquisition debt financing to Wittington. Closing is expected in Q1 2026. Biz: a pharmacy-led health and beauty retail business in the UK and Ireland, with a pharmaceutical wholesale business in Germany. HQ: London, UK. 

Crescent Energy Co (CRGY, CRGYFN) possible notes. UOP: fund the acquisition of Eagle Ford assets from Devon Energy Corp (DVN) for $4.22bn in cash ($3.85bn net of certain items). The deal will be funded with cash on hand, a $1bn public offering of common stock, which is priced 10/08/26, and new debt. JPM/RBC have provided a $2bn bridge loan to backstop the deal. (Crescent Energy Finance's existing sr unsec notes are rated B1/BB-/BB-). Closing is expected in Q4 or early 2027. Biz: oil and gas E&P. HQ: Houston, TX. In its press release CRGY said, the deal maintains a strong balance sheet and progress toward investment grade ratings. A balanced financing structure, greater scale and strong free cash flow generation support debt reduction and continued progress toward an investment-grade credit profile.