Congruex cancels delayed-draw term loan, sets funded loan pricing

By Sara Rosenberg

New York, April 28 – Congruex Group eliminated plans for a $75 million delayed-draw term loan and firmed pricing on its $470 million seven-year term loan B at SOFR+CSA plus 575 basis points, the high end of the 550 bps to 575 bps talk, according to a market source.

Also, the 101 soft call protection on the term loan was extended to one year from six months, the source said.

As before, the term loan has a 0.75% floor, an original issue discount of 97.5, CSA of 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate, amortization of 1% per annum and a total net leverage ratio covenant.

The company’s now $545 million of credit facilities (B3/B), down from $620 million, also include a $75 million revolver.

KeyBanc Capital Markets, Citizens and Fifth Third are the leads on the deal.

Proceeds will be used to fund two acquisitions and refinance existing debt.

Congruex is a specialist in broadband network construction and engineering. It is based in Boulder, Colo.

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