Jul
23
Bondholders Tire of Losing Out When Funding Failed Acquisitions
By-
Investors demand better protection when M&A bonds get called
- Bondholder group wants to set limits on how notes get redeemed
The headache U.S. bond investors get from financing failed takeovers is getting worse, and they are calling for change.
Since 2015, at least eight proposed M&A transactions that were funded in the bond market had to be called off, according to the Credit Roundtable, a New York-based organization advocating on behalf of bondholders. All eight allowed the borrower to repay the notes at 101 cents, even if the securities were trading at levels far higher than that…
Bondholders Tire of Losing Out When Funding Failed Acquisitions
