Article: Private Market Grows to Nearly $2.5 Billion in May.(News)

Byline: Grant Catton

The U.S. private placement market priced $2.42 billion in traditional private paper last month, according to data compiled by Private Placement Letter. Although the total is far from the $4.85 billion priced in May of last year, or the $3.9 billion of May 2007, last month did fulfill expectations that issuance volume would expand after a tepid pace in March and April.

Market players were generally encouraged by the continued tightening of new issue spreads in the public market-as private placements are often priced to comparable public bonds-and an increase in cross-border activity.

Investor appetite for risk remained an ...

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