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Citrix debt deal costs with massive losses for banks

Funding banks together with Financial institution of America Corp., Credit score Suisse Group AG and Goldman Sachs Group Inc. are on observe to collectively lose greater than $500 million on debt backing the biggest U.S. leveraged buyout of the 12 months after it was bought to traders at a steep low cost.

The $4 billion in bonds backing the $16.5 billion take-private deal for Citrix Techniques Inc.
CTXS,
+0.06%
have been auctioned off Tuesday at a 16% low cost, netting round $500 million in losses alone for underwriting banks, in response to folks conversant in the matter and pricing time period sheets seen by The Wall Road Journal.

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