Dec. 19, 2013 18:00 UTC

Prudential Fixed Income to manage €415 million Dryden 29 CLO

LONDON--(BUSINESS WIRE)-- Pramerica Investment Management Limited’s Fixed Income business has been appointed collateral manager for the recently closed Dryden 29 Euro CLO 2013 BV, the company announced. Prudential Fixed Income, ranked among the largest collateralized debt obligation managers, is the principal public fixed income business of Prudential Financial, Inc. (NYSE:PRU).

The €415 billion collateralized loan obligation, which closed December 19 and is managed by its team in London, is the second European CLO to be issued under Prudential's Dryden brand in 2013. Prudential Fixed Income also closed three transactions in the U.S. during 2013.

"We are proud to be among a small group of managers who brought new life to the European CLO market this year," said Jonathan Butler, managing director and head of leveraged finance in Europe. "We are also grateful for the continued confidence investors have in our investment strategy and CLO management capabilities. The size of the Dryden 29 transaction was raised from an initial €300 million to €415 million due to investor interest."

Dryden 29 allows for about 30 percent of the assets to pay a fixed rate coupon, compared to a traditional industry average of about 5 percent. Prudential Fixed Income used a similar structure for Dryden XXVII, its first 2013 European transaction, which closed in May.

"Allowing fixed coupon assets sets us apart as a manager and gives us more flexibility to build a robust portfolio for our clients, while carefully managing the risk," Butler added.

Dryden 29 is the 47th cash or synthetic CLO/CDO structure to be managed or sub-advised by Prudential Fixed Income's global platform, which manages more than $9.7 billion in CLO capital from its offices in London and Newark, N.J.

Prudential Fixed Income, with $397 billion in assets under management as of September 30, 2013, offers institutional investors needs-based solutions across all fixed income markets, with a focus on credit strategies and liability-driven investing. Prudential Fixed Income has portfolio management and research teams in Newark, N.J.; London and Singapore. For more information, please visit http://www.prudentialfixedincome.com.

Prudential Financial, Inc. (NYSE:PRU), a financial services leader with more than $1 trillion of assets under management as of September 30, 2013, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds and investment management. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit http://www.news.prudential.com.

Contacts

Prudential Financial, Inc.
Theresa Miller, 973-802-7455
theresa.miller@prudential.com


Source: Prudential Financial, Inc.