Presidio, Platform Specialty, Stonewall Gas, Alliant Holdings, Mirion Technologies break

By Sara Rosenberg

New York, Jan. 26 – A number of deals made their way into the secondary market on Monday, including Presidio Inc., Platform Specialty Products Corp./MacDermid Inc., Stonewall Gas Gathering LLC, Alliant Holdings and Mirion Technologies LLC.

Moving to the primary, IPC Corp. revised spreads, original issue discounts, call protection and maturities on its first- and second-lien term loans, and PODS LLC shifted some funds between its first- and second-lien term loans and tightened pricing and discounts on the tranches.

Also, Angus Chemical Co. revised the original issue discount on its term loans, Kaufman Hall & Associates LLC widened pricing and the offer price on its term loan B, and Paris Presents Inc. trimmed spreads on its first- and second-lien debt.

In addition, Caribou Coffee Co. increased pricing on its credit facility, and Global Knowledge Training LLC moved up the recommitment deadline on its credit facility.

Furthermore, Dollar Tree Inc. released price talk on its term loan B with launch, Targa Resources Corp. rescheduled the bank meeting for its term loan, and Acadia Healthcare Co. Inc. joined this week’s calendar.

Presidio hits secondary

Presidio’s credit facility began trading on Monday, with the $600 million seven-year first-lien covenant-light term loan seen at 97¼ bid, 98¼ offered, a trader remarked.

Pricing on the term loan is Libor plus 525 basis points with a 1% Libor floor and it was sold at an original issue discount of 97. The debt has 101 soft call protection for one year.

During syndication, pricing on the term loan was lifted from Libor plus 475 bps, the discount was changed from 99 and the call protection was extended from six months.

The company’s $650 million credit facility (B1/B) also includes a $50 million revolver.

Credit Suisse Securities (USA) LLC, Barclays, Citigroup Global Markets Inc., RBC Capital Markets LLC and Goldman Sachs Bank USA are leading the deal that will be used to help fund the buyout of the New York-based IT infrastructure services provider by Apollo Global Management LLC from American Securities LLC.

The company was also expected to get $400 million of senior unsecured notes, but the offering was postponed until a later date due to insufficient demand at price talk, a source added.

Platform frees up

Another deal to emerge in the secondary was Platform Specialty’s non-fungible $500 million incremental covenant-light term loan B-2 due June 7, 2020, with levels quoted at 99¼ bid, par ¼ offered, according to a trader.

Pricing on the B-2 loan is Libor plus 375 bps with a 1% Libor floor and it was sold at an original issue discount of 99. There is 101 soft call protection for six months.

The other day, the term loan B-2 was downsized from $1 billion, the spread firmed at the tight end of the Libor plus 375 bps to 400 bps talk and the call protection was shortened from one year.

The company is also getting a fungible €83 million add-on covenant-light term loan due June 7, 2020 priced at Euribor plus 325 bps with a 1% floor that was sold at a discount of 98. This debt has 101 soft call protection for six months as well.

During syndication, pricing on the euro loan was reduced from talk of Euribor plus 350 bps to 375 bps and the call protection was shortened from one year.

Platform repricing

Along with the new debt, Platform Specialty is repricing its existing $1,172,000,000 first-lien covenant-light term loan B due June 7, 2020 at Libor plus 350 bps, after finalizing the other day at the low end of the Libor plus 350 bps to 375 bps talk, with a % Libor floor. This tranche has 101 soft call protection for months, which was revised from one year.

The existing U.S. term loan is being repriced from Libor plus 300 bps with a 1% Libor floor.

Pricing on the existing €204.5 million first-lien covenant-light term loan B due June 7, 2020 is remaining at Euribor plus 325 bps with a 1% floor. The repricing of this debt was initially talked in the area of Euribor plus 350 bps to 375 bps with a 1% floor. There is 101 soft call protection for six months, also cut recently from one year.

The leverage-based step-downs in the existing term loans are being removed as part of the amendment to the credit facility.

Platform buying Arysta

Proceeds from Platform Specialty’s new loans will be used to help fund the roughly $3.51 billion acquisition of Arysta LifeScience Ltd. from the Permira Funds.

Barclays, Credit Suisse Securities (USA) LLC, UBS AG and Nomura Securities International LLC are leading the new term loans.

The company is also getting $1 billion of bonds, upsized recently from $500 million with the term loan downsizing, and €350 million of bonds for the acquisition.

Closing is expected this week, subject to regulatory approval.

Platform is a Miami-based specialty chemicals company. Arysta is a Tokyo-based provider of crop services with expertise in agrochemical and biological products.

Stonewall starts trading

Stonewall Gas’ $350 million seven-year senior secured term loan B (B) freed up for trading as well, with levels quoted at 96½ bid, 97½ offered, according to a trader.

Pricing on the loan is Libor plus 775 bps, after firming at the tight end of revised talk of Libor plus 775 bps to 800 bps, but up from initial talk of Libor plus 650 bps. The loan has a 1% Libor floor and is non-callable for one year, the has hard call protection of 102 in year two and 101 in year three, and was sold at a discount of 95.

Earlier in syndication, the discount widened from 98 and the call protection was changed from non-callable for one year, then a 101 soft call for one year.

Closing is expected this week, the source said.

Citigroup Global Markets Inc., BMO Capital Markets and Bank of America Merrill Lynch are leading the deal that will be used to fund the construction of the Stonewall Gas system.

Stonewall Gas is a critical gas gathering pipeline system in the Southwest Marcellus shale that is being developed by M3 Midstream LLC.

Alliant Holdings breaks

Alliant Holdings, a Newport Beach, Calif.-based specialty insurance brokerage firm, also saw its $445 million add-on first-lien term loan hit the secondary market, with levels quoted at 99½ bid, par offered on the break and then it moved up to 99 5/8 bid, par 1/8 offered, a source remarked.

Pricing on the loan, which was upsized recently from $360 million, is Libor plus 400 bps with a 1% Libor floor and it was sold at an original issue discount of 99. There is 101 soft call protection for six months.

With the add-on, pricing on the existing first-lien term loan is being increased to Libor plus 400 bps with a 1% Libor floor from Libor plus 325 bps with a 1% Libor floor as the debt is fungible.

Macquarie Capital (USA) Inc. and KKR Capital Markets LLC are leading the add-on loan that will be used to fund acquisitions.

The upsizing was done because management signed a letter of intent for a yet to be disclosed incremental acquisition which would result in a leverage neutral pro forma capital structure of 4.25 times senior secured leverage and 6 times total leverage. If the acquisition is not completed, lenders will be repaid at par.

Mirion tops OID

Mirion Technologies’ credit facility broke for trading too, with the $280 million seven-year first-lien covenant-light term loan quoted at 99½ bid, par ¼ offered, according to a trader.

Pricing on the term loan is Libor plus 475 bps with a 1% Libor floor and it was sold at an original issue discount of 99. The debt includes a 25 bps step-down in pricing based on net leverage and 101 soft call protection for six months.

In addition to the term loan, the company is getting a $35 million five-year revolver.

Credit Suisse Securities (USA) LLC, RBC Capital Markets and HSBC Securities (USA) Inc. are leading the $315 million credit facility (B1/B) that will be used to help fund the buyout of the company by Charterhouse Equity Partners LLC from American Capital.

Mirion is a provider of radiation detection products.

IPC reworks deal

Over in the primary, IPC lifted pricing on its $555 million first-lien term loan (B1/B) to Libor plus 550 bps from Libor plus 475 bps, moved the original issue discount to 97 from 99, extended the 101 soft call protection to one year from six months, shortened the maturity to 6½ years from seven years and added a net first-lien maintenance covenant to the previously covenant-light tranche, according to a market source.

Also, pricing on the company’s $345 million second-lien covenant-light term loan (Caa2/B-) was increased to Libor plus 950 bps from Libor plus 850 bps, the discount was modified to 95½ from 98½, the call protection was changed to non-callable for one year, then at 103 in year two and 101 in year three from 102 in year one and 101 in year two, and the maturity was shortened to seven years from eight years, the source said.

As before, both term loans have a 1% Libor floor.

IPC removes MFN sunset

Another change made to IPC’s first- and second-lien term loans was that the 12 month MFN sunset provision was eliminated.

Furthermore, the excess cash flow sweep was revised to 75% with step-down from 50% with step-downs.

And, while the incremental allowance on the first- and second-lien loans remained at $100 million shared between the tranches, the unlimited amount on the first-lien loan was set at up to 3 times net first-lien leverage and 5.2 times net senior secured leverage, versus at 3.5 times net first-lien leverage and 5.7 times net senior secured leverage at launch, and the unlimited amount on the second-lien loan was set at up to 5.2 times net senior secured leverage instead of at 5.7 times net senior secured leverage, the source continued.

IPC getting revolver

In addition to the first- and second-lien term loans, IPC’s $925 million credit facility includes a $25 million five-year revolver (B1/B).

Recommitments are due by 5 p.m. ET on Wednesday, the source added.

Barclays and Credit Suisse Securities (USA) LLC are leading the deal that will be used to help fund the roughly $1.2 billion buyout of the company by Centerbridge Partners LP from Silver Lake Partners.

Closing is expected this month, subject to customary conditions and approvals.

IPC is a Jersey City, N.J.-based provider of mission-critical network services and trading communication technology to the financial markets community.

PODS restructures

PODS raised its seven-year first-lien covenant-light term loan B (B1/B+) to $410 million from $390 million, cut pricing to Libor plus 425 bps from talk of Libor plus 450 bps to 475 bps, revised the original issue discount to 99½ from 99 and extended the 101 soft call protection to one year from six months, according to a market source.

Additionally, the company’s eight-year second-lien covenant-light term loan (Caa1/CCC+) was trimmed to $150 million from $170 million, the spread was lowered to Libor plus 825 bps from talk in the Libor plus 850 bps area, and the discount was moved to 99 from 98½, the source said.

Both term loans still have a 1% Libor floor, and the second-lien term loan still has hard call protection of 102 in year one and 101 in year two.

The loans have 50 bps MFN for life.

PODS being acquired

Proceeds from PODS’ $610 million senior credit facility, which also provides for a $50 million revolver (B1/B+), will be used to help fund its buyout by Ontario Teachers’ Pension Plan.

Morgan Stanley Senior Funding Inc., Barclays and Goldman Sachs Bank USA are the lead banks on the deal, with Morgan Stanley left lead on the term loan B and Barclays left lead on the second-lien loan.

Commitments are due at noon ET on Tuesday.

Closing is expected this quarter.

PODS is a Clearwater, Fla.-based provider of storage and moving containers.

Angus modifies OID

Angus Chemical tightened the original issue discount on its $335 million U.S. dollar term loan and $170 million euro-equivalent term loan to 99½ from 99, a market source said, adding that the loans are still priced at Libor/Euribor plus 425 bps with a 1% floor, and still have 101 soft call protection for one year.

Last week, the U.S. term loan was downsized from $355 million, the euro term loan was upsized from $150 million, and pricing on both tranches was trimmed from Libor/Euribor plus 450 bps.

The company’s $570 million credit facility (B1/B+) also includes a $65 million revolver.

Recommitments were due at noon ET on Monday, the source said.

J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and Deutsche Bank Securities Inc. are leading the deal that will be used with $225 million senior notes to help fund the $1,215,000,000 buyout of the company by Golden Gate Capital from the Dow Chemical Co.

Closing is expected this quarter, subject to regulatory approval and customary conditions.

Angus is a Buffalo Grove, Ill.-based manufacturer and distributor of nitroalkanes and their derivatives.

Kaufman changes emerge

Kaufman Hall & Associates widened pricing on its $150 million six-year term loan B to Libor plus 575 bps from talk of Libor plus 500 bps to 525 bps and modified the original issue discount to 97 from 99, a market source remarked, adding that the 1% Libor floor and 101 soft call protection for one year were unchanged.

In addition, amortization on the term loan was beefed up to 2.5% per annum, stepping up to 5% after year three, from 1% per annum, and the excess cash flow sweep was increased to 75% with step-downs from 50% with step-downs.

The company’s $170 million credit facility also includes a $20 million five-year revolver.

Recommitments are due by noon ET on Tuesday, the source continued.

Barclays and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to fund the buyout of the company by Madison Dearborn Partners.

Kaufman Hall is a Skokie, Ill.-based consulting firm and provider of software for U.S. not-for-profit health care providers.

Paris Presents flexes

Paris Presents cut pricing on its $15 million five-year revolver and $92 million six-year first-lien term loan to Libor plus 450 bps from Libor plus 500 bps, and kept the 1% Libor floor intact, a source said. The first-lien term loan still has an original issue discount of 99 and 101 soft call protection for six months.

Meanwhile, pricing on the company’s $30 million seven-year second-lien term loan was lowered to Libor plus 825 bps from Libor plus 850 bps, the source continued. This tranche still has a 1% Libor floor, a discount of 98 and call protection of 102 in year one and 101 in year two.

Recommitments are due at the end of the day on Tuesday.

BNP Paribas Securities Corp. is leading the $137 million credit facility that will be used to fund the recently completed buyout of the company by Wasserstein & Co. LP from Mason Wells. Ontario Pension Board and Northwestern Mutual are co-investing in the transaction alongside Wasserstein.

Paris Presents is a Gurnee, Ill.-based provider of branded cosmetic and bath accessories to mass merchants, drug stores, specialty beauty stores and online retailers.

Caribou ups spread

Caribou Coffee lifted pricing on its $275 million five-year revolver and a $100 million term loan A to Libor plus 175 bps from Libor plus 150 bps, according to a market source.

Also, the maturity of the term loan A was shortened to five years from six years, the source said.

Rabobank is leading the $375 million credit facility that will be used to back the recently completed acquisition of Einstein Noah Restaurant Group Inc. and to refinance existing debt.

Closing on the credit facility is expected to occur on Feb. 4, the source added.

Caribou is a Minneapolis-based branded coffee company. Einstein Noah is an operator of bagel bakeries.

Global Knowledge timing

Global Knowledge accelerated the recommitment deadline on its $245 million credit facility to 5 p.m. ET on Monday from 5 p.m. ET on Tuesday, according to a market source.

The facility consists of a $20 million revolver (B1/B+), a $175 million six-year first-lien term loan (B1/B+) and a $50 million seven-year second-lien term loan (Caa1/B).

The first-lien term loan is priced at Libor plus 550 bps with a 1% Libor floor and an original issue discount of 98½, and includes 101 soft call protection for one year.

Pricing on the second-lien term loan is Libor plus 950 bps with a 1% Libor floor and a discount of 98, and this tranche includes call protection of 103 in year one, 102 in year two and 101 in year three.

Global Knowledge leads

Credit Suisse Securities (USA) LLC, Macquarie Capital and ING are leading Global Knowledge’s credit facility.

Earlier in syndication, the spread on the first-lien term loan was lifted from Libor plus 525 bps and the discount was changed from 99, the spread on the second-lien loan was increased from Libor plus 900 bps and the discount was revised from 98½, and a maximum total leverage covenant was added to the originally covenant-light term loans.

Proceeds will be used to help fund the buyout of the company by Rhone Capital LLC from MidOcean Partners.

Global Knowledge is a Cary, N.C.-based provider of IT and business skills training.

Dollar Tree discloses talk

In more primary happenings, Dollar Tree came out with talk of Libor plus 375 bps to 400 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on its $5.2 billion seven-year term loan B that launched with a call on Monday, according to a market source.

Originally, the deal was slated to launch with a bank meeting, but the company opted to just hold a call due to inclement weather.

Along with the term loan B, the company is getting a $1.25 billion five-year revolver and a $500 million five-year term loan A.

Commitments are due on Feb. 5, the source added.

J.P. Morgan Securities LLC, Wells Fargo Securities LLC, Bank of America Merrill Lynch, RBC Capital Markets and U.S. Bank are leading the $6.95 billion credit facility (Ba1/BB+).

Dollar Tree funding acquisition

Proceeds from Dollar Tree’s credit facility will be used to help fund the $8.5 billion purchase of Family Dollar Stores Inc., under which Family Dollar shareholders will receive $74.50 for each share they own, comprised of $59.60 in cash and $14.90 in Dollar Tree stock, subject to a collar.

The financing is expected to be completed in February.

Family Dollar stockholders already approved the transaction but the acquisition remains subject to approval by the Federal Trade Commission. Dollar Tree has made a divestiture proposal to the FTC and anticipates reaching an agreement with the FTC staff as to the specific number and locations of stores for divestiture by the end of January.

Closing of the Family Dollar acquisition could occur as soon as March.

Dollar Tree is a Chesapeake, Va.-based discount store operator. Family Dollar is a Matthews, N.C.-based chain of discount stores.

Targa delays launch

Targa Resources pushed off the bank meeting for its $430 million seven-year senior secured term loan to 2:30 p.m. ET on Thursday from 10 a.m. ET on Tuesday, according to a market source.

With the term loans, the company plans on getting a $670 million revolver.

Bank of America Merrill Lynch, RBS, Wells Fargo Securities LLC, ING, MUFG and Union Bank are leading the deal that will be used to help fund the acquisition of Atlas Energy LP following the spinoff of its non-midstream assets, to pay related fees and expenses, and to refinance existing debt.

Under the agreement, Targa is buying Atlas Energy for $1,869,000,000, including 10.35 million shares and $610 million in cash.

Closing is expected this quarter, subject to the spinoff of the non-midstream assets and customary approvals and conditions.

Targa Resources is a Houston-based midstream energy company.

Acadia readies meeting

Acadia Healthcare set a bank meeting for 10 a.m. ET in New York on Wednesday to launch a $500 million seven-year covenant-light term loan B, a market source said.

Bank of America Merrill Lynch, Jefferies Finance LLC, Citigroup Global Markets Inc. and Deutsche Bank Securities Inc. are leading the deal that will be used to help fund the acquisition of CRC Health Group Inc. for $1,175,000,000, consisting of up to about 6.3 million shares of Acadia’s common stock and the assumption of CRC’s debt.

Closing is expected this quarter, subject to regulatory review and customary closing conditions.

Acadia is a Franklin, Tenn.-based provider of inpatient behavioral health care services. CRC is a Cupertino, Calif.-based operator of addiction recovery centers.

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