U.S. High Grade Loan Volume Set to Fall After 2021 Covid Bump

Posted on Feb. 22nd, 2022

The U.S. investment-grade loan market is set to return to normality in 2022 after loans delayed early in the pandemic were shifted into this year, making it among the busiest on record, according to some of the market’s lead deal arrangers. 

Blue-chip companies have raised more than $1.2 trillion in revolving credit facilities, term loans, and other syndicated loans held by their banking groups through Dec. 17, putting the market on track to beat the record set in 2018, according to Bloomberg league table data

That’s about 60% higher than full-year 2020 volume, a year marked by the start of the Covid-19 pandemic, which disrupted credit markets and led to a temporary increase in prices for borrowers. Many companies that would have normally refinanced revolvers instead waited on the sidelines until this year. 

Original article: https://www.bloomberg.com/news/articles/2021-12-20/u-s-high-grade-loan-volume-set-to-fall-after-2021-covid-bump