Leading the opening of the European Leveraged Loan market in 2023
HSBC has been at the forefront of the market helping companies across Europe, with solutions to extend their debt maturities to de-risk balance sheets and allow greater operational flexibility in the years ahead. Providing clients with seamless access to markets has been key over recent months. Creativity and client-centricity have been at the heart of HSBC’s strategy, with the bank delivering complex financings for a variety of transactions across maturity extensions, refinancings as well as more strategic solutions.
Our support to clients and impact on the market have translated in many ways:
- HSBC re-opened the leveraged loan market this year with a USD 2.2 billion equivalent debt extension for Nord Anglia, the largest transaction for a private equity backed company since May 2022.
- HSBC was one of the most active banks in the leveraged loan market, bookrunning over 50% of all leveraged loan deals in 2023.
- HSBC has specialised in negotiating debt maturity extensions with investors and has bookrun over 80% of “Amend and Extend” transactions launched so far this year.
- HSBC has placed over EUR 8 billion for European clients in the leveraged finance market already this year, attracting demand in excess of EUR 15 billion.
Source: HSBC data as at February 2023
In addition, HSBC leveraged its global platform to lead the market in cross-border transactions, securing a Global Coordinator/Bookrunner role on five out of the seven deals completed so far in 2023 (Source: HSBC data as at February 2023). This includes a EUR 2.6 billion equivalent refinancing transaction for Ineos, which also marked the first cross-border high yield bond issue since January 2022.
"With the deep market insight we have gained from these transactions, we are well placed to advise clients on how best to navigate the market, to develop tailored solutions and to provide best-in-class execution. It is encouraging to start the year by delivering positive outcomes for our clients. The mandates we won are the result of our long-standing relationships with key clients who have been entrusting us as their capital markets partner for years,” says Paul Cahalan, Head of Leveraged and Acquisition Finance EMEA at HSBC.