Investment banks including Bank of America Corp., Credit Suisse Group AG and Goldman Sachs Group Inc. are on track to collectively lose more than $500 million on debt backing the largest U.S. leveraged buyout of the year after it was sold to investors at a steep discount.
The $4 billion in bonds backing the $16.5 billion take-private deal for Citrix Systems Inc.
CTXS,
were auctioned off Tuesday at a 16% discount, netting around $500 million in losses alone for underwriting banks, according to people familiar with the matter and pricing term sheets viewed by The Wall Street Journal.
This post was originally published on Market Watch
