BNPP AM Euro CLO 2018 BV: 07 September 2018
The assets securing the notes will consist of a portfolio of primarily Secured Senior Loans, Secured Senior Bonds, Second Lien Loans, Mezzanine Obligations and High Yield Bonds, and will be managed by BNP Paribas Asset Management France SAS.
Eligibility criteria (includes): it is a Secured Senior Loan, a DIP Loan, an Unsecured Senior Loan, Secured Senior Bond, a Mezzanine Obligation, a Second Lien Loan or a High Yield Bond; it is not a Structured Finance Security or a Synthetic Security; it is not a Defaulted Obligation, a Credit Risk Obligation or Equity Security, including any obligation convertible into an Equity Security; it is not a lease; it is not a Zero Coupon Obligation; other than in the case of DIP Loans, it is not an obligation which has a Moody's Rating of "Caa3" or lower or a Fitch Rating of "CCC-" or lower; it is an obligation of an Obligor or Obligors Domiciled in a Qualifying Country (as determined by the Collateral Manager acting on behalf of the Issuer); it is not a Project Finance Loan; it has a minimum purchase price of 60.0% of the Principal Balance of such Collateral Obligation.
The Issuer anticipates that, by the Issue Date, it will have purchased or committed to purchase Collateral Obligations the Aggregate Principal Balance of which is equal to at least €300mln, which is approximately 75.0% of the Target Par Amount.
The Notes are being offered by the Issuer through Citigroup Global Markets Limited, London Branch in its capacity as placement agent of the offering of such Notes.
EU Risk Retention: In accordance with the EU Retention Requirements, the Collateral Manager (in its capacity as the Retention Holder and an "originator" pursuant to the EU Retention Requirements) will undertake that on the Issue Date it will subscribe for and hold on an ongoing basis for so long as any Class of Notes remains Outstanding, not less than 5% of the Principal Amount Outstanding of each Class of Notes then Outstanding.
US Risk Retention: As of the date of this Offering Circular, due to the uncertainty as to whether the U.S. Risk Retention Rules would apply in respect of this transaction in light of the LSTA Decision and whether this transaction would be considered an "open market CLO" in light of the Collateral Manager's origination activity, the Collateral Manager has elected to comply with the U.S. Risk Retention Rules for so long as the U.S. Risk Retention Rules are potentially applicable to this transaction.