Cinemark term loan B frees to trade; Inmar sets talk; Phinia, Emerald Expositions on deck

By Sara Rosenberg

New York, May 22 – Cinemark Holdings Inc.’s first-lien term loan B made its way into the secondary market on Monday, with levels quoted above its original issue discount.

Meanwhile, in the primary market, Inmar Inc. approached lenders with a new first-lien term loan to help refinance its existing capital structure, and Phinia Inc. and Emerald Expositions (Emerald X Inc.) joined this week’s new issue calendar.

Cinemark breaks

Cinemark’s $650 million seven-year first-lien term loan B (Ba2/BB) freed to trade on Monday, with levels quoted at 98¾ bid, 99¼ offered, according to a market source.

Pricing on the term loan is SOFR plus 375 basis points with a 0.5% floor, and it was sold at an original issue discount of 98.5. The debt has 101 soft call protection for one year.

During syndication, pricing on the term loan firmed at the high end of the SOFR plus 350 bps to 375 bps talk, the call protection was extended from six months, and changes were made to documentation, including adding a springing maturity ahead of the company’s senior notes due 2028, revising MFN and modifying incremental debt incurrence.

Barclays, Wells Fargo Securities LLC, JPMorgan Chase Bank and RBC Capital Markets are leading the deal that will be used to refinance the company’s existing first-lien term loan B due March 2025 and pay related fees and expenses.

Closing is expected in late May.

The borrower is Cinemark USA Inc.

Cinemark is a Plano, Tex.-based motion picture exhibitor.

Inmar holds call

Inmar emerged in the morning with plans to hold a lender call at 1 p.m. ET on Monday to launch a $950 million first-lien term loan (B3) due May 1, 2026 talked at SOFR plus 525 bps with a 0.5% floor, an original issue discount of 96.5 and 101 soft call protection for six months, a market source remarked.

Commitments are due at 5 p.m. ET on June 5, the source added.

Jefferies LLC, Credit Suisse Securities (USA) LLC, Wells Fargo Securities LLC, Goldman Sachs Bank USA and ING are leading the loan that will be used with $485 million of PIK preferred equity to refinance the company’s existing capital structure.

Inmar is a Winston-Salem, N.C.-based provider and partner in facilitating and optimizing workflows for retailers, manufacturers, pharmacies, hospitals and other trading partners through the use of data analytics and tech-enabled logistics capabilities.

Phinia on deck

Phinia set a lender call for 10:30 a.m. ET on Tuesday to launch a $500 million seven-year term loan B (BB+) talked at SOFR+10 bps CSA plus 375 bps with a 0.5% floor, an original issue discount of 98.5 to 99 and 101 soft call protection for six months, according to a market source.

The term loan has a ticking fee of the full margin plus SOFR starting on June 19.

Commitments are due at noon ET on June 1, the source added.

In addition to the term loan B, the company is expected to get a $500 million revolver and a $300 million term loan A.

JPMorgan Chase Bank, BofA Securities Inc., PNC Bank, US Bank and Wells Fargo Securities LLC are leading the deal that will be used to help fund the spin-off of BorgWarner Inc.’s fuel systems and aftermarket segments into a separate, publicly traded company named Phinia. The term loans will be used to repay historical debt to BorgWarner.

Closing is expected this year, subject to customary conditions.

Phinia is an Auburn Hills, Mich.-based provider of fuel systems, starters and alternators to the commercial vehicle, light vehicle, and aftermarket end markets.

Emerald joins calendar

Emerald Expositions scheduled a lender call for Wednesday to launch a $415 million term loan B, a market source said.

BofA Securities Inc. is the left lead on the deal that will be used to refinance an existing $415 million first-lien term loan B.

Emerald Expositions is an owner and operator of business-to-business trade shows.

© 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.