High Yield Calendar: $325 million in the market

August 15 Week

SOLENIS via OLYMPUS WATER US HOLDINGS CORP.: if the notes offering closes concurrently with the acquisition, or CHEEVER ESCROW ISSUER if the completion of the acquisition is delayed until after the issue date: $325 million senior secured notes due 2027 (B2); BofA (left books), Goldman Sachs (joint books); Rule 144A for life; callable after two years at par plus 50% of coupon (special call provision allows issuer to redeem 10% of notes annually at 103 during the non-call period); to fund the acquisition of Clearon Corp., a specialty chemicals company based in South Charleston, W.Va., and to provide excess cash to pre-fund a potential earn-out payment expected in 2023; Wilmington, Del.-based specialty chemicals manufacturer; investor call 11 a.m. ET on Tuesday; pricing expected Wednesday; initial talk high-7% to low-8% area.

Expected Post-Labor Day Business

CITRIX SYSTEMS INC.: Expected $7.95 billion, including $4 billion senior secured notes (left books Credit Suisse) and $3.95 billion unsecured notes (left books Goldman Sachs); also $8.05 billion senior secured credit facilities; debt commitment from BofA, Credit Suisse, Goldman Sachs, Barclays, Citigroup, Deutsche Bank, KKR, Mizuho, Morgan Stanley and RBC; also $2.275 billion of equity and up to $2.5 billion of preferred equity interests; to support the acquisition by Vista Equity Partners and Evergreen Coast Capital Corp.; Fort Lauderdale, Fla.-based digital workspace technology company; expected post-Labor Day business (dealers may withhold as much as $3.5 billion of the bonds to avoid steep discounts).

PEGASUS MERGER CO. (TENNECO INC.): $3 billion high-yield notes – $2 billion secured notes with early guidance in the 10% area and $1 billion unsecured notes with early guidance 250 basis points to 300 bps behind the secured notes; also $2.4 billion term loan; to help fund acquisition of Tenneco by Apollo (enterprise value approximately $7.1 billion), expected to close during second half of 2022 and refinance some existing debt; also $1.65 billion of equity; Skokie, Ill.-based aftermarket auto components supplier; pre-marketing was underway during July 4 week; bond and loan syndication efforts delayed into post-Labor Day period due to market conditions.

On The Horizon

ACURIS FINANCE US, INC. and ACURIS FINANCE SARL, doing business as ION ANALYTICS: $850 million equivalent eight-year senior secured notes (expected ratings B2/B) in tranches of dollar-denominated notes, price talk 6% area (initial talk low-to-mid 6% area), and euro-denominated notes, price talk 4¾% area (initial talk mid-to-high 4% area) tranche sizes to be determined (expected $500 million and $350 million equivalent euro); UBS (left books), BNP Paribas (joint books); Rule 144A and Regulation S for life; notes in both tranches callable after two years at par plus 50% of respective coupons; to refinance debt incurred in the Backstop acquisition, to fund a dividend for repurchase of shares from certain minority shareholders in one or more parent companies, to partially prepay amounts drawn under the credit facility and for general corporate purposes; London-based market analytics and data provider (delayed as of Jan. 28).

MONEYGRAM INTERNATIONAL INC.: $500 million unsecured bridge loan and $800 million senior secured credit facilities, debt commitment from Goldman Sachs, Deutsche Bank and Barclays; proceeds plus $810 million equity to fund the buyout of MoneyGram, a Dallas-based digital P2P payments company, by Madison Dearborn Partners LLC; disclosed in 8-K filed with the SEC on Feb. 16.

TEGNA INC.: $1.496 billion senior secured bridge loan and $2.715 senior unsecured bridge loan; also $4 billion senior secured credit facilities; debt commitment from RBC, BofA, Goldman Sachs, Truist, BNP, Credit Suisse, Jefferies, Mizuho, TD, Barclays, Deutsche Bank, MUFG, Citizens, SMBC; to help fund its acquisition by Standard General LP, expected to close in second half of 2022; Tysons, Va.-based media company; information disclosed in PREM14A filed on March 25 with SEC.

Bridge Loans

JETBLUE AIRWAYS CORP.: $3.5 billion senior secured bridge loan to help fund its acquisition of Spirit Airlines Inc., adjusted enterprise value of $7.6 billion, expected to close no later than 2024 first half; debt commitment from Goldman Sachs, BofA, BNP Paribas, Credit Suisse, Credit Agricole, Natixis, Sumitomo, MUFG; New York-based air carrier; disclosed in 8-K filed with SEC on July 28.

SEMTECH CORP.: $1.151 billion 364-day bridge loan to help fund its acquisition of Sierra Wireless Inc., enterprise value approximately $1.2 billion, expected to close in Semtech's fiscal year 2023; commitment from JPMorgan; Semtech is a Camarillo, Calif.-based supplier of semiconductors and advanced algorithms; Sierra Wireless is a British Columbia-based Internet of Things solutions provider; disclosed in 8-K filed with SEC on Aug. 3.

Roadshow

Started Aug. 15: SOLENIS $325 million; BofA, Goldman Sachs

© 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.