Deals
Fed Breathes Fresh Life Into Credit Rally, Inviting Risky Deals
- Comstock Resources, PG&E borrowing in busy U.S. docket
- Fed removed key hurdle of certification process for issuers
Commuters walk along a platform at Cawang railway station in Jakarta, Indonesia, April 21.
Photographer: Dimas Ardian/BloombergThis article is for subscribers only.
The Federal Reserve revitalized a credit rally that had appeared to be on shaky footing, encouraging a new slate of risky borrowers to tap the market.
Energy exploration and production company Comstock Resources Inc. is selling $500 million of CCC rated bonds to repay its revolver, while auto parts manufacturer Dana Inc. borrowed for similar reasons. A subsidiary of Navios Maritime Holdings Inc. is sounding out investors for a $500 million secured bond that may yield around 10%, according to people familiar with the matter. And PG&E Corp. is wrapping up a nearly $9 billion bond sale to help fund its exit from bankruptcy.