The CIT Syndicated Loan Group is primarily focused on the purchase of senior secured bank loans in the primary and secondary markets. The business has two areas of focus — par loans and distressed loans.
Par Loan Business
We invest in syndicated bank debt across all industries. This debt is used by borrowers for leveraged buyouts, acquisition financing and general corporate needs. Investments include first and second lien secured loans that are sourced in both the primary and secondary markets.
Our group invests in term loan tranches in the primary market and utilizes the secondary market to add to positions, including purchasing deeply discounted revolving credit facilities. Total loans outstanding in our target market equal approximately $300 billion.
Distressed Debt Business
We invest in first and second lien secured debt and other corporate obligations at a deep discount to par value. Our investments are sourced through broker/dealers, intermediaries and primary research. We invest in all industry sectors. The current distressed bank loan market has outstanding loans totaling greater than $6 billion. We take a proactive role in working with the distressed company’s management and its constituents to maximize value for creditors.