Friday, 31 July 2015
Last updated 10 hours ago
May 20 2009 | 1:03pm ET
Avenue Capital Management will not sell its leveraged loan and collateralized loan obligations business, and instead will seek to acquire one or more other high-yield fund shops.
The New York hedge fund, which manages some $2.8 billion in CLOs, decided against dumping the unit as the CLO market has recovered in recent months, Bloomberg News reports. The $16.5 billion firm has ended talks with potential buyers, and has become a serious potential buyer itself. According to Bloomberg, the firm is stepping up its efforts to buy other high-yield loan funds.
While the firm will not part ways with its CLO unit, it has parted ways with its top manager. Richard D’Addario left Avenue last month. According to Bloomberg, his departure had nothing to do with the firm’s plan to sell the business.
Should Avenue find a CLO shop to buy, it would put that firm’s management in charge of its six CLOs.
May 27 2015 | 2:15pm ET
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