Canyon Partners announced the closing of Canyon Euro CLO 2026-1, a €400 million European collateralized loan obligation. The deal brings Canyon’s European CLO platform assets under management to more than €2.1 billion.
Canyon’s total assets under management across its global CLO platform are now approximately $12.6 billion.
Canyon Partners is a global alternative investment manager with $30 billion in assets under management.
Canyon Euro CLO 2026-1 will be managed by Canyon affiliate Canyon CLO Advisors.
The transaction was arranged by BNP Paribas.
The deal has a 1.5-year non-call period and a 4.7-year reinvestment period. It was structured to comply with European risk retention regulations.
Canyon said the CLO achieved a weighted-average cost of debt of E+182, with the triple-A tranche pricing at E+130 basis points.
The transaction marks Canyon’s first new issue European CLO of the year and its fifth active European CLO.
The majority of the equity for Canyon Euro CLO 2026-1 will be funded by Canyon CLO Fund IV, Canyon’s fourth CLO equity fund.
Canyon CLO Fund IV closed earlier this year with more than $400 million in commitments.
Canyon’s CLO platform has continued to expand across both U.S. and European markets.
Since launching its first CLO strategy in 2001, Canyon has issued and managed 36 CLOs and CDOs globally.
Founded in 1990, Canyon uses a deep value and credit-intensive approach across public and private corporate credit, asset-backed credit, and real estate.
KEY QUOTES:
“This transaction reflects the continued strength of our European CLO strategy and the depth of our relationships with CLO debt investors. Achieving competitive pricing in the current environment is a direct result of our disciplined portfolio construction and the trust we have built with our debt investors over many market cycles.”
Erik Miller, Partner and Co-Head of Canyon’s CLO Business
“We are proud to continue scaling our European CLO strategy. We believe the recent momentum reflects the growing conviction among sophisticated investors in Canyon’s approach.”
Martin Downen, Partner and Co-Head of Canyon’s CLO Business
