Wall Street Prepares for $15 Billion Spree of Risky Buyout Debt

  • Worldpay deal among those expected to launch post-Labor Day
  • Wave of LBO debt may help boost overall issuance in September
Wall Street Braces for $15 Billion Wave of LBO Debt
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A $15.4 billion wave of debt is set to sweep over leveraged finance markets in September as Wall Street banks rush to lure in yield-hungry investors.

Bankers are expected to kick off a series of new junk bonds and loans tied to M&A after the Labor Day holiday in the US. While the forward calendar pales in comparison to 2019 — which had a roughly $60 billion pipeline in August, according to PitchBook LCD — it’s a welcome development in a market that’s seen little seen little buyout financing so far this year.