BBB Industries talks $1.19 billion term loan at SOFR plus 500-525 bps

By Sara Rosenberg

New York, June 21 – BBB Industries LLC held its lender call at 1 p.m. ET on Tuesday and, a few hours before the call began, price talk on its $1.19 billion seven-year first-lien term loan B (B2/B-) emerged at SOFR+10 basis points CSA plus 500 bps to 525 bps with 25 bps step-downs at 4.5x and 4x first-lien leverage, a 0.5% floor and an original issue discount of 95 to 96, according to a market source.

The first-lien term loan has 101 soft call protection for six months.

Ticking fees on the first-lien term loan are half the spread from July 31 to Sept. 30 and the full spread plus three-month SOFR thereafter, the source said.

JPMorgan Chase Bank, Goldman Sachs Bank USA, Antares Capital, Wells Fargo Securities LLC, Deutsche Bank Securities Inc., UBS Investment Bank, Nomura, Fifth Third and ING are the leads on the deal.

Commitments are due at 5 p.m. ET on June 28.

Proceeds will be used with a privately placed second-lien term loan to help fund the buyout of the company by Clearlake Capital Group LP.

Closing is expected this year, subject to customary conditions.

Upon completion, Genstar Capital and BBB’s management team will continue to be investors in the company.

BBB Industries is a Daphne, Ala.-based sustainable manufacturer of automotive replacement parts.

© 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.