WHP Global increases term loan B amount to $175 million

By Sara Rosenberg

New York, Jan. 11 – WHP Global (WH Borrower LLC) upsized its non-fungible covenant-lite first-lien term loan B due Feb. 15, 2027 (B2/B) to $175 million from $150 million, according to a market source.

Pricing on the term loan remained at SOFR plus 550 basis points with a 0.5% floor and an original issue discount of 96.

The term loan still has call protection of 105 for life that is required on all mandatory and optional prepayments, 0 bps CSA and amortization of 1% per annum.

Morgan Stanley Senior Funding Inc. is the sole bookrunner on the deal.

Proceeds will be used to help fund the $235 million acquisition of 60% of the Express intellectual property joint venture, which is intended to scale the Express apparel brand through new domestic category licensing and international expansion opportunities. Express Inc., a fashion apparel retailer, will own 40% of the joint venture.

The intellectual property joint venture implies a total value of the Express brand’s intellectual property at about $400 million.

As a result of the term loan upsizing, the company eliminated plans to draw on its revolving credit facility and is reducing the amount of cash being used for the transaction, the source added.

Closing is expected during the week of Jan. 23.

WHP is a New York-based brand management firm.

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