LONDON, April 29, 2015 /PRNewswire/ -- BNY Mellon, a
global leader in investment management and investment services, has
been appointed trustee and paying agent for Bosphorus CLO I
Limited. It is Commerzbank's first European CLO and is being
managed by the bank's Debt Fund Management division.
The €233.4 million collateralised loan obligation (CLO) will
securitise a portfolio of senior secured loans and bonds granted to
European companies. Sterne Agee & Leach, Inc. is acting as
arranger and also making its debut in the European CLO market.
CLO issuance in Europe in 2014
reached €14.29 billion, which was double the issuance of the
previous year1. BNY Mellon acted as either paying agent
or trustee on more than a quarter of the 34 CLOs that were issued
in the region2.
"This deal demonstrates our continued partnership with clients
on innovative solutions in this rapidly rebounding market," said
Dean Fletcher, Head of Corporate
Trust EMEA at BNY Mellon. "This is Europe's first static CLO3 since
the financial crisis, which provides investors with an alternative
to actively managed vehicles by offering a combination of yield,
asset quality and reduced management costs. The tight spread
reflects investors' enthusiasm for the offering. The senior
tranche of Bosphorus CLO I Limited is priced at 115 basis points
above Euro Interbank Offered Rate, which is one of the tightest
spreads in the European CLO market."
BNY Mellon will also act as custodian, account bank, information
agent, calculation agent, registrar and transfer agent to Bosphorus
CLO I Limited.
Notes to editors:
As of March 31, 2015, BNY Mellon
Corporate Trust served as trustee and/or paying agent on more than
60,000 debt-related issues globally. Its clients include
governments and their agencies, multinational corporations,
financial institutions and other entities that access the global
debt capital markets. The corporate trust business utilizes its
global footprint and expertise to deliver a full range of issuer
and related investor services and to develop customized and
market-driven solutions. Its range of core services includes debt
trustee, paying agency, escrow and other fiduciary offerings.
Corporate trust providers are appointed by corporations,
municipal governments and other entities issuing debt to perform a
variety of duties, including servicing and maintaining the debt
issue, processing principal and interest payments for investors,
representing investors in defaults, and providing value-added
services for complex debt structures.
BNY Mellon is a global investments company dedicated to helping
its clients manage and service their financial assets throughout
the investment lifecycle. Whether providing financial services for
institutions, corporations or individual investors, BNY Mellon
delivers informed investment management and investment services in
35 countries and more than 100 markets. As of March 31, 2015, BNY Mellon had $28.5 trillion in assets under custody and/or
administration, and $1.7 trillion in
assets under management. BNY Mellon can act as a single point of
contact for clients looking to create, trade, hold, manage,
service, distribute or restructure investments. BNY Mellon is the
corporate brand of The Bank of New York Mellon Corporation (NYSE:
BK). Additional information is available on www.bnymellon.com, or
follow us on Twitter @BNYMellon.
This press release is issued by The Bank of New
York Mellon to members of the financial press and media.
All information and figures source BNY Mellon unless otherwise
stated as at March 31, 2015.
The Bank of New York Mellon, London Branch, registered in England and Wales with FC005522 and BR000818.
Branch office: One Canada Square,
London E14 5AL. The Bank of New
York Mellon is supervised and regulated by the New York State Department of Financial
Services and the Federal Reserve and authorised by the Prudential
Regulation Authority.
The Bank of New York Mellon London branch is subject to regulation
by the Financial Conduct Authority and limited regulation by the
Prudential Regulation Authority.
Details about the extent of our regulation by the Prudential
Regulation Authority are available from us on request.
1 Creditflux
2 Creditflux
3 This means there is no reinvestment or discretionary
trading permitted in the CLO after the deal closes. However the
portfolio manager may identify and dispose of credit-impaired and
defaulted assets.
Contact:
Malcolm Borthwick
+44 20 7163 4109
malcolm.borthwick@bnymellon.com
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SOURCE BNY Mellon