Barclays CEO Jes Staley Says Troubled Loan Deals Are Eye-Opener
- Potential investors are punishing ‘idiosyncratic’ deals
- Leveraged loans usually help fund private equity acquisitions
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Barclays Plc Chief Executive Officer Jes Staley, whose bank is among lenders sitting on $2 billion of risky corporate loans they’re struggling to sell, has warned of the dangers of poorly assembled deals.
Buyers of leveraged loans are shunning transactions that aren’t “structured properly,” Staley said in an interview with Bloomberg TV on Friday. Banks globally have been left holding parts of loans that funded at least seven private-equity deals, and Barclays was a lead underwriter on four of them.