Kabel Deutschland to pitch maturity extensions in Tuesday lender call

By Paul A. Harris

Portland, Ore., Jan. 23 - On the heels of syndicating its $750 million term loan F last Friday, Kabel Deutschland Holding AG is attempting to extend the maturities of three term loan tranches to 2017 from 2014, market sources said on Monday.

A conference call is set for Tuesday.

The deal would roll lenders in the company's term loan A-1, A-2 and C-1 tranches into a new Euribor plus 350 basis points term loan G tranche.

The Euribor spread steps down to 325 bps if leverage falls below two times.

The deal comes with a 15 bps consent fee.

Last Friday Kabel Deutschland's upsized $750 million seven-year senior secured term loan F (NA/NA/BB+) allocated and began trading.

Pricing on the term loan F is Libor plus 325 bps with a 1% Libor floor, and it was sold at an original issue discount of 981/2. There is 101 soft call protection for one year.

Goldman Sachs & Co., BNP Paribas Securities Corp., Deutsche Bank Securities Inc. and RBS Securities Inc. are the mandated lead arrangers on the deal, which was upsized from $500 million.

Proceeds will be used to repay a portion of the company's existing term loan A due in March 2012, term loan C due in March 2013, term loan A-1, term loan A-2 and term loan C-1 due in March 2014.

The borrower is an Unterfoehring, Germany-based cable operator.

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