High yield battles with senior loan disclosure

Author: Danielle Myles | Published: 14 Oct 2010

Disclosure of senior loans will be the next battle in Europe’s revived high yield market.

Panelists at Wednesday’s European Leveraged Finance Conference disagreed over bondholders’ right to know borrowers’ senior loan obligations, and none expect the issue to be resolved anytime soon.

Investors want the US’s Securities and Exchange Commission (SEC) regime which requires issuers to file loan documents, arguing transparency is needed to sustain the high yield market’s growth.

“You can’t have a...