The chapter discusses the potential for private credit CLOs in Europe and explores their gradual progression from private unrated deals to private rated deals and eventually to a broader market. It also touches on the involvement of European banks in private credit US deals and potential obstacles to bringing the private credit market to Europe.
When JP Morgan priced Ivy Hill XXI in July it marked the bank's entry into middle-market CLO arranging and underlined the expansion of the mid-market CLO industry. That deal also re-sparked the inevitable question of whether now is the right time for private credit CLOs in Europe.
For this week’s episode of our podcast, Josie Shillito quizzes Christine Ferris, head of JP Morgan's global CLO primary business on this opportunity.
Is Europe ready? And what would it do to the private credit market as we see it now?