Great Wolf breaks; Alinta Energy, Reynolds, Kodak, Quebecor, Van Wagner, AMR reveal changes

By Sara Rosenberg

New York, July 31 - Great Wolf Resorts Inc.'s credit facility made its way into the secondary market on Wednesday, with the term loan B seen trading above its original issue discount price.

Moving to the primary, Wastequip LLC accelerated the commitment deadline on its loan, Alinta Energy Finance Pty Ltd. lifted the coupon on its funded and delayed-draw term loans, widened the original issue discount, sweetened call premiums and shortened maturities, and Reynolds and Reynolds Co. flexed pricing downwards on its term loans.

Also, Eastman Kodak Co. raised increased price talk on its first-lien term loan for a second time, Quebecor Media Inc. upsized its B loan and cut the coupon, Van Wagner Communications LLC trimmed the spread on its term loan B and AMR Corp. (American Airlines) lifted the size of its add-on deal.

Furthermore, Boyd Gaming Corp., Generic Drug Holdings Inc. (Harvard Drug) and Northeast Wind Capital II LLC price talk emerged with launch, Smile Brands Group Inc., Fairmount Minerals Ltd., American Capital Ltd. and Epiq Systems Inc. are getting ready to bring new deals to market, and Bally Technologies Inc. disclosed timing on its term loan.

Great Wolf frees up

Great Wolf Resorts' credit facility broke for trading on Wednesday, with the $320 million seven-year covenant-light term loan B quoted at par ¼ bid, 101 offered by one source and at par 3/8 bid, par 7/8 offered by a second source.

Pricing on the B loan is Libor plus 350 basis points with a step-down to Libor plus 325 bps at 3½ times secured leverage. There is a 1% Libor floor and 101 soft call protection for six months, and the debt was sold at an original issue discount of 991/2.

During syndication, pricing on the loan was lowered from talk of Libor plus 425 bps to 450 bps, the step-down was added and the discount was revised from 99.

The Madison, Wis.-based water park resort operator's $420 million senior secured credit facility (B3/BB-) also includes a $100 million five-year revolver.

Deutsche Bank Securities Inc., Barclays and Goldman Sachs Bank USA are leading the deal that will be used to repay 10 7/8% first mortgage notes due 2017, to refinance existing credit facility debt and for general corporate purposes.

Wastequip moves deadline

Over in the primary, Wastequip revised the commitment deadline on its $210 million six-year term loan (B3/B+) to Tuesday from Aug. 8, according to a market source.

The term loan is talked at Libor plus 475 bps to 500 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year.

Goldman Sachs Bank USA is leading the deal.

Proceeds will be used to refinance existing debt and fund a dividend.

Wastequip is a Charlotte, N.C.-based manufacturer of waste handling equipment and recycling equipment.

Alinta restructures

Alinta Energy flexed up pricing on its $1.17 billion of senior secured covenant-light term loans to Libor plus 525 bps from talk of Libor plus 425 bps to 450 bps and moved the original issue discount to 97 from 981/2, according to a market source.

Additionally, the soft call protection was increased to 102 in year one and 101 in year two from just 101 for one year and the maturity was shortened to six years from seven years, the source remarked.

The term debt, which includes a $1.1 billion funded tranche and a $70 million delayed-draw tranche, still has a 1% Libor floor.

With the term loans, the company will be getting an A$240 million five-year revolver.

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

Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., BNP Paribas Securities Corp., Goldman Sachs Bank USA and Macquarie Capital are leading the credit facility (B1/B+) that will be used by the Melbourne, Australia-based power company to refinance existing debt.

Reynolds trims pricing

Reynolds and Reynolds revised pricing on its $550 million five-year first-lien term loan A (Ba3/B+) that is geared towards CLOs to Libor plus 275 bps from Libor plus 325 bps, and kept the 1% Libor floor and discount of 99½ unchanged, according to a market source.

Meanwhile, the $1.75 billion seven-year first-lien term loan B (Ba3/B+) saw talk trimmed to Libor plus 325 bps to 350 bps from Libor plus 400 bps and the discount moved to 99½ from 99, while the 1% floor and 101 soft call protection for one year were kept in place, the source said.

Also, talk on the $1.1 billion 71/2-year second-lien term loan (Caa1/CCC+) was reduced to Libor plus 700 bps to 725 bps from Libor plus 775 bps and the discount was tightened to 99 from 981/2, the source continued. This tranche still has a 1% floor and is non-callable for two years, then at 102 in year three and 101 in year four.

Reynolds getting revolver

Reynolds and Reynolds' $3,425,000,000 credit facility also provides for a $25 million revolver (Ba3/B+).

Recommitments are due at 3 p.m. ET on Thursday, the source added.

Deutsche Bank Securities Inc. is leading the transaction that will be used for a recapitalization.

Reynolds and Reynolds is a Kettering, Ohio-based provider of software, business forms and supplies, and professional services that support automotive retailing for car dealers and automakers.

Kodak revised again

Kodak lifted talk on its $420 million six-year first-lien term loan to Libor plus 625 bps to 650 bps from revised talk of Libor plus 550 bps to 575 bps and initial talk of Libor plus 475 bps to 500 bps, according to a market source.

As before, the first-lien term loan has a 1% Libor floor, an original issue discount of 98 and hard call protection of 102 in year one and 101 in year two. At the time of the first flex, the discount was revised from 99 and the call protection was beefed up from 101 soft call protection for one year.

The company's $895 million senior secured exit facility also includes a $275 million seven-year second-lien term loan, and an up to $200 million senior secured asset-based revolver expected at Libor plus 300 bps with a 50 bps unused fee.

The second-lien loan is priced at Libor plus 950 bps with a 1.25% Libor floor and a discount of 971/2, and is non-callable for one year, then at 103 in year two and 101 in year three. Earlier in syndication, the spread was increased from talk of Libor plus 825 bps to 850 bps, the discount widened from 98½ and the call protection was sweetened from 103 in year one, 102 in year two and 101 in year three.

Kodak lead banks

J.P. Morgan Securities LLC, Bank of America Merrill Lynch and Barclays are leading Kodak's credit facility that will be used to fund distributions to creditors in accordance with the company's plan of reorganization.

The deal has a 75% excess cash flow sweep, that was increased from 50% at the time of the first round of pricing changes, a financial covenant beginning in December 2014 that was added earlier this week and a minimum liquidity test through December 2014 that was also added recently.

Recommitments for the newly revised credit facility were due at 5 p.m. ET on Wednesday, the source added.

Kodak is a Rochester, N.Y.-based imaging technology products and services provider to the photographic and graphic communications markets.

Quebecor trims spread

Quebecor Media reduced the coupon on its seven-year senior secured covenant-light term loan B (B1) to Libor plus 250 bps from Libor plus 275 bps and increased the size to $350 million from $300 million, according to a market source.

The Montreal-based media company's loan still has a 0.75% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months.

Recommitments were due at 2 p.m. ET on Wednesday.

Citigroup Global Markets Inc., Scotia Capital (USA) Inc. and RBC Capital Markets are leading the deal that will be used for general corporate purposes.

Van Wagner flexes

Van Wagner Communications cut pricing on its $227.8 million senior secured term loan B due August 2018 to Libor plus 500 bps from Libor plus 525 bps, while keeping the 1.25% Libor floor, par offer price and 101 soft call protection for one year intact, according to a market source.

Recommitments were due at 5 p.m. ET on Wednesday, the source said.

Barclays is leading the deal that will be used to reprice an existing term loan from Libor plus 700 bps with a 1.25% Libor floor.

Van Wagner is an out-of-home advertising company.

AMR upsizes

AMR raised the size of its add-on to its debtor-in-possession/exit financing term loan (Baa2/BB-/BB-) to $850 million from $500 million, according to a market source.

The add-on is still talked at Libor plus 375 bps with a 1% Libor floor and an original issue discount of 991/2.

Spread and floor on the add-on match the existing term loan.

Deutsche Bank Securities Inc., Citigroup Global Markets Inc., Barclays, Goldman Sachs Bank USA, J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc., Bank of America Merrill Lynch and Credit Suisse Securities (USA) LLC are leading the deal that will be used to add cash to the balance sheet.

AMR is a Fort Worth, Texas-based airline company.

Boyd Gaming launches

Also on the new deal front, Boyd Gaming held its call on Wednesday, and with the event, price talk on its $1.75 billion credit facility (Ba3/BB-) was announced, according to a market source.

The $600 million five-year revolver and $150 million five-year term loan A are both talked at Libor plus 300 bps, the source said.

As for the $1 billion seven-year covenant-light term loan B, it is talked at Libor plus 350 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months, the source continued.

Lead banks, Bank of America Merrill Lynch, Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, UBS Securities LLC, Wells Fargo Securities LLC and Nomura, are asking for commitments by Aug. 7 for the refinancing deal.

Boyd is a Las Vegas-based owner and operator of gaming entertainment properties.

Generic Drug sets talk

Generic Drug revealed talk of Libor plus 425 bps to 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year on its $380 million senior secured term loan B (B1/B) that launched in the morning, according to a market source.

Commitments are due on Aug. 14, the source said.

Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance existing debt and pay a dividend to shareholders.

Generic Drug is a Livonia, Mich.-based independent pharmaceutical distributor.

Northeast Wind guidance

Northeast Wind Capital held its meeting in the morning, launching its $325 million seven-year senior secured term loan B (Ba3/BB-) with talk of Libor plus 425 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

Commitments are due on Aug. 13, the source continued.

Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, BNP Paribas Securities Corp., KeyBanc Capital Markets LLC and Union Bank are leading the deal that will be used to refinance debt.

Northeast Wind Capital, the owner of a portfolio of wind projects, is a joint venture between First Wind Holdings and Emera Inc. First Wind owns 51% of the portfolio and Emera owns the remaining 49%.

Smile Brands readies deal

Smile Brands set a call for 2 p.m. ET on Thursday to launch a $310 million credit facility that consists of a $50 million five-year revolver and a $260 million six-year first-lien term loan, according to a market source.

The term loan is talked at Libor plus 625 bps with a 1.25% Libor floor, an original issue discount of 98 and 101 soft call protection for one year, the source said.

Credit Suisse Securities (USA) LLC, Jefferies Finance LLC, SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC are leading the deal for which commitments are due on Aug. 13.

Proceeds will be used to refinance existing debt.

Smile Brands is an Irvine, Calif.-based provider of support services to dental offices.

Fairmount on deck

Fairmount Minerals will hold a bank meeting with a 1:30 p.m. ET registration time on Monday to launch a $1,285,000,000 senior secured credit facility, according to a market source.

The facility consists of a $75 million five-year revolver, a $250 million first-lien term loan B-1 due March 15, 2017 and a $960 million six-year first-lien term loan B-2, the source said.

Barclays, KeyBanc Capital Markets LLC, PNC Capital Markets LLC and Wells Fargo Securities LLC are leading the deal that will be used to help fund the acquisition of nearly all of FTS International's sand mining operations, resin-coating plants and distribution terminals, and to refinance an existing senior secured credit facility.

Closing on the acquisition is expected by the end of the third quarter.

Fairmount Minerals is a Chesterland, Ohio-based producer of industrial sand.

American Capital plans loan

American Capital scheduled a call for 11 a.m. ET on Thursday to launch a $600 million term loan B that will be reduced to $450 million after an amortization payment on Aug. 22, a market source said.

The B loan is talked at Libor plus 325 bps to 350 bps with a 1% Libor floor, a par offer price and 101 soft call protection for six months, the source continued.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance an existing term loan B priced at Libor plus 425 bps with a 1.25% Libor floor.

American Capital is a Bethesda, Md.-based private equity firm and global asset manager.

Epiq coming soon

Epiq Systems Inc. will host a bank meeting on Thursday to launch a $400 million senior secured credit facility (B1/BB-), according to market sources.

The facility consists of a $100 million revolver and a $300 million term loan, sources said.

KeyBanc Capital Markets LLC is the leading the deal that will be used to refinance existing debt and provide greater capital flexibility.

Epiq is a provider of technology-enabled services for electronic discovery, bankruptcy and class action administration.

Bally timing surfaces

Bally Technologies came out with timing on the launch of its $1.3 billion term loan B, setting a bank meeting for this coming Tuesday, according to a market source.

The loan has 101 soft call protection for six months.

Wells Fargo Securities LLC, J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Goldman Sachs Bank USA and Union Bank are leading the deal that will be used to fund the acquisition of SHFL Entertainment Inc., a Las Vegas-based gaming supplier, for $23.25, or about $1.3 billion, including debt of $8 million and cash of $41 million as of April 30.

Pro forma total leverage is expected to be around 4 times.

Closing is expected by the second quarter of 2014, subject to SHFL shareholder approval, antitrust approval and gaming regulatory approvals.

Bally is a Las Vegas-based gaming company that designs, manufactures, distributes, and operates gaming devices and computerized monitoring, accounting and player-tracking systems for gaming devices.

Tower Auto closes

In other news, Tower Automotive Holdings USA LLC closed on its roughly $420 million senior secured term loan B due April 23, 2020 that is priced at Libor plus 375 bps with a 1% Libor floor, according to a news release. The debt was sold at par and has 101 soft call protection for six months.

Citigroup Global Markets and J.P. Morgan Securities LLC led the deal that was used to reprice an existing term loan B from Libor plus 450 bps with 1.25% Libor floor.

Tower Automotive is a Livonia, Mich.-based supplier of automotive metal structural components and assemblies.

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