Canyon Partners Closes Nearly $1B in Dual CLO Transactions Across U.S. and Europe
Canyon Partners has closed two new collateralized loan obligations (CLOs) totaling nearly $1 billion. The transactions—Canyon EUR CLO 2025-2 and Canyon US CLO 2025-2—were structured to comply with European risk retention rules and are managed by Canyon’s affiliate, Canyon CLO Advisors L.P.
The European deal, a €400 million CLO arranged by Citigroup Global Markets Limited, brings Canyon’s European CLO assets under management to €1.8 billion ($2.1 billion). With a 2-year non-call period and a 5-year reinvestment window, the transaction marks Canyon’s fourth European CLO since entering the market in 2023.
In the U.S., Canyon priced a $500 million CLO with BofA Securities, featuring the same non-call and reinvestment structure. This deal increases the firm’s U.S. CLO AUM to $9.3 billion across 22 active vehicles. Together, Canyon now oversees $11.4 billion across 26 CLOs globally, with most equity for the two new transactions funded through its Canyon CLO Fund IV L.P.
Since 2001, Canyon has managed 33 CLOs and CDOs. Year-to-date, it has issued four new CLOs and refinanced or reset six others, totaling roughly $2.5 billion in debt capital refinanced at more competitive costs. “In a challenging environment for pricing CLOs favorably, we are proud to have closed two more deals this year, particularly at the competitive costs of capital we achieved,” said Martin Downen, co-head and co-portfolio manager of Canyon’s CLO business.