Lakeshore Learning launches $100 million term loan at 98.79 OID

By Sara Rosenberg

New York, Aug. 14 – Lakeshore Learning Materials LLC launched on Monday without a lender call a fungible $100 million incremental first-lien term loan due Oct. 1, 2028 that is talked with an original issue discount of 98.79, according to a market source.

Pricing on the incremental term loan is SOFR+CSA plus 350 basis points with a 0.5% floor, in line with existing term loan pricing.

CSA is 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

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

Expected term loan ratings are B2/B.

Jefferies LLC, BMO Capital Markets, Wells Fargo Securities LLC, Citizens and KeyBanc Capital Markets are the bookrunners on the deal.

Commitments are due at 3 p.m. ET on Tuesday, the source added.

Proceeds will be used to fund a one-time shareholder distribution.

Lakeshore is a Carson, Calif.-based developer, distributor and retailer of educational products and classroom furniture, primarily serving the Early Childhood Education and K-5 markets.

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