Banks Sell Leveraged Loans for Apollo-Owned Covis
- Loans for Apollo-backed company priced at 90% of face value
- Offering was hit by volatility, concerns about firm’s revenues
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After a five-week struggle, a group of banks led by Barclays Plc has finally sold the biggest part of a $1.26 billion debt package for a pharmaceutical company owned by Apollo Global Management Inc.
The banks priced $945 million of first-lien loans for Covis Pharmaceuticals Monday, according to a person with knowledge of the matter, after offering one of the steepest discounts seen in the leveraged loan market in years to try to lure buyers. The financing stumbled several times amid volatility that’s caused investors to shun some risky companies as the Federal Reserve moves closer to hiking rates.