Guggenheim affiliate started buying debt on Friday: FT

An affiliate of Guggenheim Partners began purchasing debt linked to the firm’s asset management division on Friday, stabilizing the price of a $1.2 billion loan that had previously traded at distressed levels. The loan was quoted at 84 cents on the dollar by Friday, up from as low as 70 cents earlier in the week, following the acquisition activity, according to sources familiar. The purchases were executed through Bank of America, which manages trading in the security.

The loan, issued by GIH Borrower, a subsidiary of Guggenheim Investments, had fallen sharply in value amid concerns over a 2025 whistleblower report and questions about revenue recognition practices. Executives had previously held a call with creditors to address these concerns and reassure lenders about the firm’s financial health.

The debt purchase comes as Guggenheim’s founder, Mark Walter, faces broader scrutiny over his business empire, including investigations into two insurance entities under his TWG Group. While Guggenheim is a separate entity from TWG, both are led by Walter, who has been actively seeking to raise capital through the sale of major assets, including a stake in the LA Lakers and potential minority shares in Chelsea Football Club.

Guggenheim and Bank of America declined to comment on the debt purchases.