The notes are subject to a non-call period
of five years.
The transaction documents permit the re-pricing of any class of notes to occur at any time after the non-call period
(ending January 2013) upon the majority vote of the LP Certificate holders.
30% for the Series D Units will continue until July 27, 2004 -- the end of the current non-call period
In addition, the non-call period
is scheduled to terminate on the May 2008 payment date.
Independence IV is a quasi-static transaction which includes a portfolio that will have a three-year Non-Call period
ending in 2006, during which proceeds from the sale of collateral may be reinvested in portfolio assets.
Other key features of this issue include a 10 year non-call period
and Capital is allowed to skip up to five consecutive quarterly coupon payments without triggering an event of default.
Commonly, a CDO transaction will allow a majority or supermajority of the equity holders to call the rated notes on any payment date on or after the payment date on which the non-call period
has ended (typically two to four years from origination), as long as the proceeds of the asset liquidation will be sufficient to redeem all of the rated notes in full (including accrued interest) and cover the swap-termination payments and all other fees and expenses.
During the non-call period
, payments of principal will be returned by lottery in $1,000 increments.
The CLO has a four-year reinvestment period and a two-year non-call period
, with a final maturity of January 23, 2026.
The non-call period
is five years from the issue date.
KVK CLO 2013-1 has a four-year reinvestment period, scheduled to end in April 2017, as well as a two-year non-call period
that will end in April 2015.
The Shackleton I CLO, Ltd is an 11-year deal and has a four-year reinvestment period and a two-year non-call period