KBRA Affirms the Ratings for BCRED BSL CLO 2021-2, Ltd.
7 Aug 2024 | New York
KBRA affirms the ratings for two classes of notes issued by BCRED BSL CLO 2021-2, Ltd., a cash flow collateralized loan obligation (CLO) backed by a diversified portfolio of broadly syndicated loans from corporate borrowers.
BCRED BSL CLO 2021-2, Ltd. is a $603.65 million cash flow CLO managed by Blackstone Private Credit Fund (or “collateral manager”). The notes were collateralized by a $600 million portfolio of broadly syndicated senior secured term loans to corporate borrowers at closing.
The CLO closed in November 2021 and has approximately 2.2 years remaining in the reinvestment period. The ratings reflect current credit enhancement levels, excess spread, and coverage tests. Since the transaction closed, the rated notes have received timely distributions of interest payments.
As of the July 2024 trustee report, the aggregate principal balance of the collateral obligations is $593.89 million, and there is a negative principal proceeds balance of -$5.5 million. There are no defaulted or discount obligations in the portfolio. The transaction is in compliance with all portfolio profile tests. The current portfolio K-WARF is 2798, which represents a weighted average portfolio credit assessment of around B-.
The ratings on the Class C and D Notes consider the ultimate payment of interest and principal by the stated maturity date.
To access rating and relevant documents, click here.
Click here to view the report.