Deals
Fine Print in Leveraged Loans Sparks Market Backlash
- Blackstone credit arm forms group to review industry standards
- Investors increasingly wary after J. Crew, PetSmart maneuvers
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Some of the largest investors in the $1.2 trillion market for risky corporate loans say they’re being given too little time to comb through the hundreds of pages of documents that govern the deals, leaving them exposed to potentially dangerous loopholes.
Now many are urging the industry’s main trade group to do something about it.