Richard Heis and Ray Jackson of KPMG have been appointed joint receivers of collateralised loan company, Coltrane CLO plc based in Dublin. The appointment followed a fall in the market value of the company’s assets which led to the triggering of default clauses under the terms of its bonds.
Coltrane plc has no employees and was set up as a market value CLO with a face value of Euro 498m, consisting of loans sold to a number of institutional investors.
Receivers have been appointed to look at the various options for Coltrane CLO plc and its assets.
Joint receiver, Richard Heis said: “We look forward to discussing the various options for Coltrane and its assets with creditors over the coming days, with a view to maximising the value of the portfolio.”
-ENDS-
Further information:
Jonathan Sollitt-Davis, PR manager
Tel: 0207 311 2471 /07919 691 494
Email: jonathan.sollitt-davis@kpmg.co.uk
Notes to editors:
Over the last few years a trend emerged for banks and other lending institutions to sell loans that they had originated to structured credit funds known as CLOs (Collateralised Loan Obligations). These are similarly structured to other structured credit vehicles such as SIVs and CDOs and some have market value performance measures whereas other non-market value CLOs do not. Market value CLOs have also been significantly affected by the credit crunch.
