Citigroup to Lead $7.5B Loan Sale in $50B Warner Bros Financing
C•Citigroup is leading the $7.5 billion loan component of Paramount Skydance’s $50 billion Warner Bros financing, with U.S. loans priced three points above benchmark at 99 cents. Citigroup analysts see China’s property sector stabilizing as April retail sales rose 0.2%, fixed-asset investment fell 1.6% and industrial production slowed to 4.1%.
1. Paramount Financing Role
Citigroup and Bank of America are spearheading a roughly $50 billion debt package for Paramount Skydance’s Warner Bros acquisition, with Citi managing the $7.5 billion loan sale. U.S. tranche pricing discussions center on spreads of three percentage points above benchmark and a tight 99-cent issuance price.
2. China Demand and Property Outlook
Citigroup economists highlight China’s domestic demand weakness, noting April retail sales growth of just 0.2%, a 1.6% slump in fixed-asset investment and industrial production slowing to 4.1%. Despite these trends, Citi analysts project the beleaguered property sector may begin stabilizing amid policy support signals.
