Blackstone/GSO Loan Financing working on ninth CLO

Blackstone/GSO Loan Financing has published interim results for the six months ended 30 June 2016. The Board says it is pleased with a positive Net Asset Value total return of 7.75% for the period from 1 January 2016 to 30 June 2016. During the period covered by this Half Yearly Financial Report, the company targeted a dividend of EUR0.02 a quarter, equating to 8% annualised return (based on a placing price of EUR1.00 per Euro share), with the expectation of progressive growth. As announced on 2 September 2016, the company has increased this target dividend yield to an annualised rate of EUR0.10 per share.

The continued successful ramp-up of the direct loan portfolio has enabled Blackstone/GSO Loan Financing to establish one new European CLO during the first half of 2016, Elm Park CLO DAC (“Elm Park”).  Elm Park (EUR558 million CLO) was  the largest European CLO issued in the market this year. The fund purchased EUR49.63m of Elm Park’s Income Notes and EUR9.00m of its Class E notes, which yielded 12% at the time of issue.

Blackstone/GSO Loan Financing  mandated Barclays to arrange BGCF’s ninth CLO transaction, Griffith Park CLO DAC, with an anticipated target size of EUR400 million. Griffith Park was subsequently upsized to EUR450 million and priced on 28 July 2016, at which time BGCF purchased EUR29 million, or 59.5%, of its Income Notes. Griffith Park is expected to be approximately 70% ramped at closing.

BGLF : Blackstone/GSO Loan Financing working on ninth CLO