Allied Universal breaks; BroadStreet, HD Supply updated; Grocery, Juice Plus+ accelerated

By Sara Rosenberg

New York, Oct. 16 – Allied Universal Holdco LLC’s incremental first-lien term loan made its way into the secondary market on Tuesday above its original issue discount price.

Moving to the primary market, BroadStreet Partners Inc. firmed the original issue discount on its add-on term loan B at the tight end of guidance, HD Supply Inc. finalized the spread on its term loan B-5 at the low side of talk, and Grocery Outlet Inc. and Juice Plus+ (JP Intermediate II LLC) accelerated the commitment deadlines on their loan transactions.

Also, Forest City Enterprises LP, Unifrax (ASP Unifrax Holdings Inc.), Meredith Corp., Infrastructure & Energy Alternatives Inc., EnTrans International LLC, AssuredPartners Inc., CryoLife Inc., HealthChannels (ScribeAmerica Intermediate Holdco LLC), Authentic Brands Group LLC (ABG Intermediate Holdings 2 LLC) and Custom Truck One Source (CTOS LLC) released price talk with launch.

In addition, Ply Gem, GFL Environmental Inc., Delek US Holdings Inc., Athletico Physical Therapy and Walker & Dunlop Inc. joined this week’s primary calendar.

Allied Universal frees up

Allied Universal’s $800 million incremental first-lien term loan (B2/B-/BB) due July 28, 2022 began trading on Tuesday, with levels quoted at par bid, par ½ offered, according to a market source.

Pricing on the incremental term loan is Libor plus 425 basis points with a 1% Libor floor, and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

On Monday, pricing on the term loan firmed at the low end of the Libor plus 425 bps to 450 bps talk and the discount was tightened from 99.

Credit Suisse Securities (USA) LLC, Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc., HSBC Securities (USA) Inc., Societe Generale, ING, Natixis and PNC are leading the deal that will be used with equity to fund the roughly $1 billion acquisition of U.S. Security Associates.

Closing is expected by the end of the year, subject to customary regulatory approvals.

Allied Universal is a Santa Ana, Calif.-based contract security services company. U.S. Security is a Roswell, Ga.-based provider of security and related services.

BroadStreet sets OID

Switching to the primary market, BroadStreet Partners finalized the original issue discount on its fungible $150 million add-on term loan B at 99.75, the tight end of the 99.5 to 99.75 talk, a market source said.

Like the company’s existing $591 million term loan B, the add-on loan is priced at Libor plus 325 bps with a 1% Libor floor.

Commitments are due at noon ET on Wednesday, moved up from Thursday, the source added.

RBC Capital Markets LLC is the left lead on the deal that will used for acquisitions and to repay drawn revolver borrowings.

BroadStreet is a Columbus, Ohio-based insurance broker.

HD Supply updated

HD Supply firmed pricing on its $1.07 billion term loan B-5 (Ba2/BBB-) due 2023 at Libor plus 175 bps, the low end of the Libor plus 175 bps to 200 bps talk, and left the 0% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months intact, according to a market source.

J.P. Morgan Securities LLC is the left lead on the deal that will be used to refinance an existing term loan B-3 and an existing term loan B-4.

HD Supply is an Atlanta-based industrial distributor.

Grocery moves deadline

Grocery Outlet changed the commitment deadline on its $975 million of senior secured credit facilities to noon ET on Wednesday from 5 p.m. ET on Thursday, a market source remarked.

The facilities consist of a $100 million five-year revolver (B2/B-), a $725 million seven-year covenant-light first-lien term loan (B2/B-) and a $150 million eight-year covenant-light second-lien term loan (Caa2/CCC).

Talk on the first-lien term loan is Libor plus 375 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 725 bps to 750 bps with a 0% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two.

Morgan Stanley Senior Funding Inc., Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and Jefferies LLC are leading the deal that will be used to refinance existing debt and fund a shareholder distribution.

Grocery Outlet is an Emeryville, Calif.-based grocery store operator.

Juice Plus+ accelerated

Juice Plus+ moved up the commitment deadline on its $438 million seven-year first-lien term loan to 5 p.m. ET on Thursday from 5 p.m. ET on Oct. 23, according to a market source.

The term loan is talked at Libor plus 600 bps with a 1% Libor floor, an original issue discount of 98.5 and 101 soft call protection for one year.

The company’s $488 million of credit facilities (B2/B+) also include a $50 million revolver.

Credit Suisse Securities (USA) LLC and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to fund the buyout of the company by Altamont Capital.

Juice Plus+ is a Collierville, Tenn.-based provider of whole food based nutritional products.

Forest City launches

In more primary happenings, Forest City Enterprises held its bank meeting on Tuesday, launching its $1.25 billion seven-year covenant-light term loan B (B2/B+) at talk of Libor plus 375 bps to 400 bps with a 0% Libor floor and an original issue discount of 99.5, according to a market source.

The term loan has 101 soft call protection for six months, and a ticking fee of half the margin from days 31 to 60 and the full margin thereafter.

Commitments are due at noon ET on Oct. 26, the source said.

Bank of America Merrill Lynch, TD Securities (USA) LLC, Barclays, BMO Capital Markets, CIBC, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., RBC Capital Markets, the Bank of Nova Scotia and US Bank are leading the deal that will be used to help fund the acquisition of the company for $25.35 per share in an all-cash transaction valued at $11.4 billion, including debt, by Brookfield Asset Management Inc.

Closing is expected in the fourth quarter, subject to Forest City stockholder approval and other conditions.

Forest City is a Cleveland-based real estate company.

Unifrax terms surface

Unifrax disclosed talk on its $550 million seven-year covenant-light first-lien term loan (B3/B-), $350 million equivalent euro seven-year covenant-light first-lien term loan (B3/B-) and $300 million eight-year covenant-light second-lien term loan (Caa2/CCC+) in connection with its morning lenders’ presentation in New York, a market source remarked. A presentation for European lenders will take place in London on Wednesday.

The U.S. and euro first-lien term loans are talked at Libor/Euribor plus 375 bps to 400 bps with a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months, and the second-lien term loan is talked at Libor plus 775 bps to 800 bps with a 0% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two, the source added.

The company’s $1,325,000,000 equivalent of senior secured credit facilities also include a $125 million five-year revolver (B3/B-).

Unifrax lead banks

Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC, UBS Investment Bank, RBC Capital Markets and Stifel, Nicolaus & Co. are leading Unifrax’s credit facilities.

Commitments are due at noon ET on Oct. 30.

The new debt will be used to help fund the buyout of the company by Clearlake Capital Group LP from American Securities LLC.

Unifrax is a Tonawanda, N.Y.-based supplier of high-performance specialty fibers and inorganic materials used in emission control, thermal management, filtration, battery and fire protection applications.

Meredith reveals guidance

Meredith released talk of Libor plus 250 bps with a 0% Libor floor and a par issue price on its $1,595,000,000 term loan B (BB) that launched with a morning call, a market source said.

The term loan B has 101 soft call protection for six months.

Commitments are due at noon ET on Oct. 23.

RBC Capital Markets is leading the deal that will be used to reprice an existing term loan B from Libor plus 300 bps with a 0% Libor floor.

Meredith is a Des Moines-based media and marketing company.

Infrastructure & Energy talk

Infrastructure & Energy Alternatives held its bank meeting in the morning, and shortly before it began, talk on its $300 million six-year first-lien term loan (B+) was announced at Libor plus 550 bps to 575 bps with a 0% Libor floor and an original issue discount of 99, according to a market source.

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

The company’s $375 million of credit facilities also include a $75 million five-year revolver.

Commitments are due on Oct. 30, the source said. Closing is targeted for Nov. 1.

Jefferies LLC and KeyBanc Capital Markets are leading the deal that will be used to fund the acquisitions of Consolidated Construction Solutions I LLC for $145 million and William Charles Construction Group for about $90 million, including $85 million in cash and $5 million in equity.

The Consolidated Construction transaction closed on Sept. 25 and the William Charles acquisition is expected to close in the fourth quarter.

Total net leverage will be 2.7 times based on LTM June 30 pro forma adjusted EBITDA of $125 million.

Infrastructure & Energy is an Indianapolis-based infrastructure construction company.

EnTrans floats terms

EnTrans International came out with talk of Libor plus 525 bps to 550 bps with a 0% Libor floor and an original issue discount of 99 on its $255 million seven-year first-lien term loan (B3/B) a few hours before its morning bank meeting kicked off, a market source remarked.

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

Commitments are due on Oct. 25, the source added.

Credit Suisse Securities (USA) LLC and Barclays are leading the deal that will be used to refinance existing debt.

EnTrans is an Athens, Tenn.-based producer of aluminum and stainless steel tank trailers and related parts and services.

AssuredPartners holds call

AssuredPartners surfaced in the morning with plans to hold a lender call at 2 p.m. ET on Tuesday to launch a fungible $220 million incremental covenant-light term loan B (B) due Oct. 22, 2024 talked with an original issue discount of 99.5 to 99.75, according to a market source.

The incremental term loan is priced in line with the the company’s existing $1,507,000,000 term loan B at Libor plus 325 bps with a 0% Libor floor, and the debt is getting 101 soft call protection for six months, the source said.

Commitments are due at noon ET on Thursday.

Bank of America Merrill Lynch is the left lead on the deal that will be used to pay down revolver borrowings, fund acquisitions expected to be completed before the transaction closes and reset liquidity for future acquisitions.

AssuredPartners is a Lake Mary, Fla.-based provider of property and casualty and employee benefits insurance brokerage services.

Cryolife sets guidance

CryoLife released talk of Libor plus 325 bps to 350 bps on its $224 million covenant-light term loan B (B2/B) due Dec. 1, 2024 that launched with an afternoon call, a market source remarked.

As reported earlier, the term loan is also talked with a 1% Libor floor, a par issue price and 101 soft call protection for six months

Commitments are due at 1 p.m. ET on Oct. 22.

Deutsche Bank Securities Inc., Capital One Bank and Fifth Third Bank are leading the deal that will be used to reprice an existing term loan B.

CryoLife is a Kennesaw, Ga.-based medical device and tissue processing company focused on cardiac and vascular surgery.

HealthChannels OID talk

HealthChannels announced original issue discount talk of 99 on its fungible $135 million incremental first-lien term loan (B3/B) due April 2025 that launched with a morning meeting, a market source said.

The incremental term loan is priced at Libor plus 450 bps with a 0% Libor floor, in line with the existing term loan, and has the same 101 hard call protection that is included in the existing term loan.

Commitments are due on Oct. 30, the source added.

Jefferies LLC and Capital One are leading the deal that will be used to fund the acquisition of PhysAssist Scribes, a Fort Worth, Texas-based provider of medical scribes to hospitals and medical practices.

HealthChannels is a Fort Lauderdale, Fla.-based medical scribing, care coordination and real-time coding services company.

Authentic Brands launches

Authentic Brands launched with a morning call its $100 million incremental covenant-light first-lien term loan due Sept. 29, 2024 at original issue discount talk of 99.5 to 99.75, according to a market source.

Pricing on the incremental term loan matches existing first-lien term loan pricing at Libor plus 350 bps with a 1% Libor floor, and the incremental debt is getting 101 soft call protection for six months, the source said.

Commitments are due at noon ET on Thursday.

Bank of America Merrill Lynch, Barclays and KeyBanc Capital Markets are leading the deal that will be used to fund the acquisition of Vince Camuto, a footwear and accessories organization, in partnership with DSW Inc., a footwear and accessories retailer, for about $375 million, to provide liquidity for the potential acquisition of Heritage Home Group’s Broyhill and Thomasville & Co. brands and for other corporate purposes.

Authentic Brands is a New York-based acquirer and manager of consumer brands in the fashion, sports and celebrity/entertainment sectors.

Custom Truck comes to market

Custom Truck One Source announced issue price talk of 100.5 to 101 on its fungible $50 million incremental covenant-light term loan B due April 18, 2023 that launched with an afternoon call, a market source remarked.

The incremental loan is priced at Libor plus 550 bps with a 1% Libor floor, and has call protection of 102 until April 2019 and par thereafter.

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

Morgan Stanley Senior Funding Inc., Citigroup Global Markets Inc. and RBC Capital Markets are leading the deal that will be used for general corporate purposes, including investments in rental fleets and potential acquisitions.

Custom Truck One Source, formerly known as Utility One Source, is a Kansas City, Mo.-based provider of specialized truck and heavy equipment solutions.

Ply Gem on deck

Ply Gem set a lender call for 10 a.m. ET on Wednesday to launch a $665 million incremental first-lien term loan (B+) due April 12, 2025 that has a 0% Libor floor and 101 soft call protection through April 12, 2019, according to a market source.

Commitments are due at 5 p.m. ET on Oct. 30, the source said.

Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC, RBC Capital Markets, UBS Investment Bank, Barclays, Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Credit Agricole, Jefferies LLC, MUFG, Natixis, Societe Generale and US Bank are leading the loan, which will be used to fund the acquisition of NCI Building Systems Inc.

Closing is expected in the fourth quarter, subject to approval by NCI shareholders and regulatory approvals.

Ply Gem is a Cary, N.C.-based manufacturer of exterior building products for residential construction. NCI is a Houston-based manufacturer of metal products for the commercial building industry. The combined company will operate under a name to be determined and will be based in Cary, N.C.

GFL timing emerges

GFL Environmental will hold a lender call at 10 a.m. ET on Wednesday to launch a $1.31 billion incremental term loan B (B1/BB-) due May 31, 2025, a market source remarked.

Previously, it was expected that the company would come to market this week with an incremental loan, but exact timing and size were unavailable.

Barclays, BMO Capital Markets Corp. and RBC Capital Markets are leading the deal that will be used with new senior notes and additional equity from BC Partners and other equity investors to fund the company’s merger with Waste Industries.

The merger agreement values Waste Industries at $2,825,000,000, and substantially all existing Waste Industries debt is expected to be refinanced at closing.

Closing is anticipated in the fourth quarter, subject to customary regulatory approvals.

GFL is a Toronto-based environmental services company. Waste Industries is a Raleigh, N.C.-based provider of non-hazardous solid waste collection, transfer, recycling and disposal services.

Delek joins calendar

Delek US Holdings scheduled a lender call for 9 a.m. ET on Wednesday to launch a $696.5 million covenant-light term loan B due March 30, 2025, a market source said.

The term loan has 101 soft call protection for six months, the source added.

Commitments are due at 4 p.m. ET on Oct. 23.

Wells Fargo Securities LLC is leading the deal that will be used to reprice an existing term loan B from Libor plus 250 bps with no floor.

Delek is a Brentwood, Tenn.-based Permian-based integrated downstream energy company.

Athletico coming soon

Athletico Physical Therapy set a lender meeting for 9:30 a.m. ET in New York on Wednesday to launch a $390 million seven-year covenant-light term loan B (B1) that has 101 soft call protection for six months, according to a market source.

Bank of America Merrill Lynch, BMO Capital Markets, J.P. Morgan Securities LLC and PNC are leading the deal.

The new loan will be used to refinance existing senior secured credit facilities.

Athletico Physical Therapy is an Oak Brook, Ill.-based provider of progressive outpatient rehabilitation and fitness services.

Walker readies loan

Walker & Dunlop scheduled a lender meeting for 10 a.m. ET in New York on Thursday to launch a $250 million seven-year term loan B, a market source remarked.

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

Commitments are due at 5 p.m. ET on Nov. 1, the source added.

Wells Fargo Securities LLC and J.P. Morgan Securities LLC are leading the deal that will be used to refinance an existing term loan B and for general corporate purposes.

Walker & Dunlop is a Bethesda, Md.-based provider of commercial real estate financial services.

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