Bakelite launches $485 million term loan at SOFR plus 400-425 bps

By Sara Rosenberg

New York, Jan. 20 – Bakelite Synthetics launched on Thursday its $485 million seven-year first-lien term loan (B1/BB-/BB+) with price talk of SOFR+CSA plus 400 basis points to 425 bps with a 0.5% floor and an original issue discount of 99, according to a market source.

CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

The term loan has 101 soft call protection for six months, amortization of 1% per annum, and ticking fees of half the margin from days 46 to 90 and the full margin thereafter, the source said.

Goldman Sachs Bank USA, Deutsche Bank Securities Inc., UBS Investment Bank, Macquarie Capital (USA) Inc. and Jefferies LLC are the arrangers on the deal.

Commitments are due at noon ET on Feb. 2, the source added.

Proceeds will be used to support the acquisition of the chemicals unit of Georgia-Pacific, refinance existing debt at Bakelite and pay related fees and expenses.

Black Diamond and Investindustrial are the sponsors.

Bakelite is a Louisville, Ky.-based producer of phenolic specialty resins and engineered thermoset molding compounds. Georgia-Pacific Chemicals is a producer of formaldehyde-based thermosetting resins and formaldehyde solutions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.