ข่าวประชาสัมพันธ์การเงิน/หลักทรัพย์

Astrea IV Pte. Ltd. Class A-1 Bonds Rated ‘A (sf)’

          NEW YORK (S&P Global Ratings) June 13, 2018--S&P Global Ratings today assigned its 'A (sf)' rating to Astrea IV Pte. Ltd.'s 242 million Singapore dollar bonds (see list).
          The bond issuance is a collateralized fund obligation, a securitization backed by a portfolio of 36 private equity funds diversified by vintage, sector, geography, and strategy.

          The rating reflects: 
          - The substantial private equity investing experience of the manager, Azalea Investment Management Pte. Ltd.
          - The diversification of the portfolio of funds, across fund managers, regions, investment sectors, and fund vintages.
          - The legal maturity of the bonds, which is 10 years from the closing date. Private equity cash flows are less predictable than those of fixed-income instruments but have historically followed a J-curve, which may extend up to 10 years (see "CDO Spotlight: Global Criteria for Private Equity Securitization," Jan. 18, 2006). A legal maturity date that generally matches the lifespan of a diversified portfolio of underlying private equity funds allows the transaction to be less susceptible to any short-term delay in fund distributions. 
          - The static nature of the portfolio of private equity investments, which does not allow the manager to alter the composition of the portfolio through purchases of additional funds.