The restructuring of China Evergrande’s massive debt pile has been one of the riskiest bets in all of distressed investing. Redwood and Saba are among funds that recently endorsed a plan hammered out by the property-development giant and global creditors, according to Rachel Butt, a reporter at Bloomberg News in New York. In this episode of the Credit Edge Podcast, Bloomberg News senior editor James Crombie also talks to Bloomberg Intelligence analyst Matthew Geudtner about junk borrowers heading for investment grade despite macroeconomic headwinds. Companies in the travel and leisure sector are doing particularly well amid “revenge spending” by US consumers with pent-up demand after years of Covid-19 restrictions. Howmet Aerospace, an aircraft material supplier, is one to watch, Geudtner says.

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