More companies will fail to repay debt as funding costs stay high, according to Mudrick Capital Management. “What we’re getting is just elevated defaults every year, we think for the next five to seven years,” Jason Mudrick, the distressed debt fund’s founder and chief investment officer, tells Bloomberg News’ Irene Garcia Perez and Bloomberg Intelligence’s Mike Holland in the latest Credit Edge podcast. “The catalyst today is not an economic downturn — it’s this normalization of interest rates,” says Mudrick. They also discuss the Tropicana, Yellow Pages and Shutterfly debt restructurings, as well as flying taxi maker Vertical Aerospace.

<p>More companies will fail to repay debt as funding costs stay high, according to Mudrick Capital Management. &ldquo;What we&rsquo;re getting is just elevated defaults every year, we think for the next five to seven years,&rdquo; Jason Mudrick, the distressed debt fund&rsquo;s founder and chief investment officer, tells Bloomberg News&rsquo; Irene Garcia Perez and Bloomberg Intelligence&rsquo;s Mike Holland in the latest Credit Edge podcast. &ldquo;The catalyst today is not an economic downturn &mdash; it&rsquo;s this normalization of interest rates,&rdquo; says Mudrick. They also discuss the Tropicana, Yellow Pages and Shutterfly debt restructurings, as well as flying taxi maker Vertical Aerospace.</p>

The Credit Edge reviews the top credit news of the week and looks at the week ahead, with in-depth research of the most important corporate sectors, trends and themes. Analysis of specific corporate bonds and credit default swaps is backed by Bloomberg Intelligence's robust data sets and indexes.

<p>The Credit Edge reviews the top credit news of the week and looks at the week ahead, with in-depth research of the most important corporate sectors, trends and themes. Analysis of specific corporate bonds and credit default swaps is backed by Bloomberg Intelligence's robust data sets and indexes.</p>

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Mudrick Sees Seven-Year Default Wave as Rates Stay Up

https://api.omny.fm/orgs/e73c998e-6e60-432f-8610-ae210140c5b1/clips/8d9e58fc-3768-480e-ab47-b339014f3f04/transcript

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