Banks Still Haunted by Hung Loans Are Doing Buyout Deals Anyway

Banks in the business of lending to risky companies are still willing to arrange financing packages, even as some lenders run into tariff-induced turmoil that’s left them unable to offload debt to investors.

A handful of deals in euros and dollars show leveraged finance bankers are swallowing their fears of “hung debt” — if the price and borrower are right. They include underwriting KKR & Co.’s purchase of a Swedish healthcare firm, a $1.7 billion debt deal to aid its acquisition of post-trade services provider OSTTRA, and some $2 billion for Silver Lake Management’s stake in chips maker Altera.

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