Market participants have queried whether
portability provisions, which sponsors and corporates are
fighting to include in high-yield documentation, actually
provide the issuer any benefits.
It’s the latest evidence that growing tensions between high-yield issuers and
investors are based purely on principles rather than
Portability allows issuers to waive
bondholders’ change of control (CoC) rights,
making it particularly attractive to private equity firms
looking to raise funds before selling a portfolio company.