Deutsche Bank won a $136 million loan auction last week, landing a portfolio consisting of 79 tranches with an average Moody’s Investors Service rating of B1. The average coupon is just north of LIBOR plus 200 basis points. “It is a clean portfolio of high quality names. There are no second liens,” said a trader. The cover bid was 100.12. The seller was a large institutional money manager, one dealer noted.
Some of the larger positions in the portfolio include: Regal Cinemas, Six Flags, SunGard Data Systems, Fidelity National Information, Georgia Pacific Corp. and Graham Packaging. Deutsche Bank will sell the individual credits to retail customers, said a trader. A Deutsche Bank banker declined comment.