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elan's picture

Comp debt question

by elan Certified User (Senior Orangutan, 388 Banana Points Points) on 9/14/08 at 3:37pm

I'm trying to mark an M&A financing commitment to market. So I went into Cap IQ and pulled fixed income stats on comparable issuances (issuing co has similar Leverage/EBITDA mult, industry, debt maturity, etc…). Now I have a bunch of stat from Cap IQ and I'm trying to figure out how I mark-to-market. Is it just:

Gain(Loss) = -([100] - [Market Price]) * [Total Issuance Amount]

That seems too easy, am I missing something?

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elan's picture

[Assume I have an

by elan Certified User(Senior Orangutan, 388 Banana Points Points) on 9/14/08 at 3:38pm

[Assume I have an appropriate set of debt comps]

WestCoastChimp30's picture

Got access to Bloomberg?

by WestCoastChimp30 Certified User(Baboon, 128 Banana Points Points) on 9/14/08 at 7:43pm

The problem with CIQ transaction screens is that there are very few transactions that report every field. You'll inevitably do a lot of digging around.

I found that Bloomberg prices and a combination of CIQ results tend to be a bit easier to work with than just whatever screening results CIQ spits out.