Reorg Blog

In terms of new coverage, our Americas Municipals coverage team initiated on a number of names, including three CCRC-related situations as well as a pair of related assisted living facilities, a Staten Island-based hospital, a Maryland transportation situation, a Kansas convention center and a Maryland-based student housing project.  Lifespace Communities (Edgemere) (CCRC): Dallas-based continuing care retirement facility Edgemere is in default on its $107 million-plus bond debt and is in the process of negotiating a forbearance agreement with its bondholders, after retaining FTI Consulting and Sidley Austin as advisors. We’ve previously reported on Edgemere’s parent company, Lifespace Communities, which owns...

Back in April 2020, Reorg covered the Singaporean commodities trading company Hin Leong Trading Pte Ltd’s collapse after significant fraudulent activity was uncovered. Prior to the collapse, affiliated Xihe Group purportedly owned one of the largest tanker fleets in the world valued at around $1.5 billion (more…)

Written by Noor Sehur, Analyst Team Lead || With a quiet primary market amid the earning season, we shifted our focus to secondary situations in Europe, some of which are auto-parts suppliers Adler Pelzer and Standard Profil, German real-estate company Adler Group and Indian-based entertainment company Eros STX. Yields of B- rated senior secured notes of Adler Pelzer and Standard Profil rose to 5.2% and 7.3%, respectively, as the industry continues to grapple with chip shortages and margin pressure from rising raw material costs. (more…)

After amending both of their credit agreements in August 2021, the Lamb Weston debt covenants have become increasingly more complex. The global producer, distributor and marketer of value-added frozen potato products ended their fiscal year with a 10.5% decrease in their adjusted EBITDA, plus the amendments to their credit agreement increased the revolver from $750 million to $1 billion extending its maturity. Our Americas Covenants experts provided a deep dive analysis into the amendments to the company’s credit agreements as well as how these amendments impact the Lamb Weston debt covenants, financial covenants, collateral and guarantee suspension period, secured debt...

Below is a recap of our municipal bonds debt analysis from the week ending Aug. 13, 2021. Primary market opportunities exclusive to Reorg’s municipal offering took the top spots this week while core, distressed coverage continued to expand the overall universe. KIPP NYC Public Charter Schools tapped the bond market for $243m in funding to construct two new charter schools in the Bronx and purchase a third. Aggressive demand drove spreads tighter than price talk and the deal priced a week early. Sanctuary LTC LLC waded into the primary market for a new $554m revenue bond that it tried to issue...

On July 8, after seeking three extensions, Tahoe Group published its response to an inquiry issued by the Shenzhen Stock Exchange in relation to the group’s 2020 annual report. The response provides some answers to the Tahoe Group liquidity and debt situation, but it is unknown whether the public's concern over the unanswered progress of the group’s prospective restructuring can be relieved. Tahoe Group, a Fujian-based PRC property developer, is deeply mired in financial crisis contributed by the PRC policy change. The group’s plan to introduce China Vanke as a white knight has not yet materialized as a result of...