Cedar Fair, Franklin break; End-User, PointClickCare updated; American Greetings accelerated

By Sara Rosenberg

New York, April 18 – Cedar Fair tightened the margin and original issue discount on its term loan B, and Franklin Square Holdings finalized pricing on its term loan B at the low end of talk and revised the issue price, and then these deals freed to trade on Thursday.

In other news, End-User Computing (Modena Buyer LLC) widened the spread and original issue discount on its first-lien term loan, and PointClickCare Technologies Inc. set the issue price on its term loan B at the tight side of guidance and eliminated the CSA, and added a repricing of another existing term loan B.

Also, American Greetings Corp. moved up the commitment deadline for its term loan B, and Infoblox Inc. (Delta Topco Inc.), Morton (SCIH Salt Holdings Inc.) and Cast & Crew released price talk with launch.

Cedar Fair modified

Cedar Fair changed price talk on its $1 billion seven-year term loan B (Ba2/BB+) to a range of SOFR plus 200 basis points to 225 bps from SOFR plus 250 bps, and then finalized pricing at SOFR plus 200 bps after Thursday’s noon ET recommitment deadline passed, a market source said.

Also, the original issue discount on the term loan was adjusted to 99.75 from 99.5, the source continued.

The term loan still has a 0% floor and 101 soft call protection for six months.

Goldman Sachs Bank USA, JPMorgan Chase Bank, Wells Fargo Securities LLC, PNC, KeyBanc Capital Markets, Fifth Third, Citizens Bank, HSBC Securities (USA) Inc., Texas Capital and Capital One are leading the deal.

The term loan B will be used to refinance the company’s 5½% senior secured notes due 2025.

Cedar Fair frees

On Thursday, Cedar Fair’s term loan B broke for trading, with levels quoted at 99 7/8 bid, par ¼ offered, another source added.

The transaction is being done in connection with the merger of Cedar Fair LP and Six Flags Entertainment Corp., under which Cedar Fair unitholders will receive one share of common stock in the new combined company for each unit owned, and Six Flags shareholders will receive 0.58 of a share of common stock in the new combined company for each share owned.

Closing is expected in the first half of this year, following receipt of Six Flags shareholder approval, regulatory approvals, and satisfaction of customary conditions.

Sandusky, Ohio-based Cedar Fair and Arlington, Tex.-based Six Flags are amusement park operators. Upon closing, the combined company will operate under the name Six Flags and be based in Charlotte, N.C.

Franklin tweaked, trades

Franklin Square firmed pricing on its $700 million seven-year term loan B (Ba1/BB) at SOFR plus 225 bps, the low end of the SOFR plus 225 bps to 250 bps talk, and moved the original issue discount to 99.75 from 99.5, according to a market source.

The term loan still has a 0% floor and 101 soft call protection for six months.

During the session, the term loan freed to trade, with levels quoted at par bid, par 3/8 offered, another source added.

JPMorgan Chase Bank is leading the deal that will be used to refinance an existing $498 million term loan B due 2025 and a $149 million term loan A, and for general corporate purposes, including share repurchases.

Franklin Square is a Philadelphia-based financial and investment services company.

End-User revised

End-User Computing lifted pricing on its $2.6 billion seven-year first-lien term loan to SOFR plus 450 bps from talk in the range of SOFR plus 400 bps to 425 bps and modified the original issue discount to 98 from 98.5, a market source remarked.

As before, the term loan has a 0% floor and 101 soft call protection for six months.

The company’s $2.86 billion of credit facilities (B2/B) also include a $260 million five-year revolver.

Commitments were due at 2 p.m. ET on Thursday, the source added.

UBS Investment Bank, KKR Capital Markets, Jefferies LLC, Citigroup Global Markets Inc., Natixis, SMBC and Bank of Nova Scotia are leading the deal that will be used to help fund the buyout of the company by KKR from Broadcom Inc. in a transaction valued at about $4 billion.

Closing is expected this year, subject to customary conditions, including regulatory approvals.

End-User Computing is a Toledo, Ohio-based provider of digital workspace solutions that allow organizations to securely deliver and manage applications, desktops and data across any device or platform.

PointClickCare modified

PointClickCare finalized the issue price on its $392 million term loan B due December 2027 at par, the tight end of the 99.875 to par talk, and removed the CSA, which was previously ARRC CSA of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate, according to a market source.

The loan will be used to reprice an existing $392 million incremental term loan B due December 2027.

In addition, the company is now repricing its existing $436.5 million term loan B due December 2027 to remove the ARRC CSA, as the two tranches are being combined into one $828.5 million term loan. This new repricing is also offered with a par issue price.

Pricing on the term loan debt remained at SOFR plus 300 bps with a 0.75% floor, and the debt still has 101 soft call protection for six months.

Commitments are due at 11 a.m. ET on Friday, the source added.

JPMorgan Chase bank is the left lead on the deal.

PointClickCare, with headquarters in Canada, is a cloud-based health care software provider.

American Greetings accelerated

American Greetings changed the commitment deadline for its $800 million 5½-year senior secured term loan B (B2) to 5 p.m. ET on Monday from 5 p.m. ET on Tuesday, a market source said.

Talk on the term loan is SOFR plus 575 bps to 600 bps with a 0% floor, an original issue discount of 98 to 98.5 and 101 soft call protection for six months.

Barclays is leading the deal that will be used to refinance an existing first-lien term loan due 2028 and any outstanding revolver borrowings, to fund a distribution to shareholders and to add cash to the balance sheet.

Concurrently with this transaction, the company’s 2025 notes will be repaid.

American Greetings is a Cleveland-based celebration solutions provider offering greeting cards, gift packaging, party goods, gifting products and digital offerings.

Infoblox guidance

Infoblox held its lender call on Thursday afternoon and announced price talk on its $1.69 billion senior secured covenant-lite first-lien term loan B due December 2029 (B2/B-/B) and $455 million covenant-lite second-lien term loan due December 2030 (Caa2/CCC/CCC), according to a market source.

The first-lien term loan is talked at SOFR plus 350 bps to 375 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 SOFR plus 575 bps to 600 bps with a 0% floor, a discount of 99.5 and hard call protection of 102 in year one and 101 in year two, the source added.

Commitments are due at 5 p.m. ET on Wednesday.

Morgan Stanley Senior Funding Inc., Barclays, Mizuho, Jefferies LLC and Macquarie Capital (USA) Inc. are leading the deal that will be used to refinance the company’s existing first-lien term loan B due December 2027 and existing second-lien term loan due December 2028, and to fund a distribution to ownership.

Infoblox is a Santa Clara, Calif.-based provider of cloud networking and security services.

Morton holds call

Morton held a lender call at 10:30 a.m. ET, launching a $1,543,335,459 covenant-lite first-lien term loan B due March 2027 (B3/B) at talk of SOFR plus 350 bps to 375 bps with 0 bps CSA, a 0.75% floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments/consents are due at 5 p.m. ET on Tuesday, the source added.

Morgan Stanley Senior Funding Inc. is the left lead on the deal that will be used to reprice an existing term loan B due March 2027.

Morton, formerly known as Kissner, is a Chicago-based salt producer.

Cast & Crew talk

Cast & Crew came out with talk of SOFR plus 400 bps to 425 bps with a 0.5% floor, an original issue discount of 99 and 101 soft call protection for six months on its $950 million term loan B due December 2028 that launched with a lender call in the morning, according to a market source.

Commitments are due at 5 p.m. ET on April 29, the source added.

Goldman Sachs Bank USA is the left lead on the deal, which will be used to refinance an existing $895 million term loan B and to repay revolver borrowings.

Cast & Crew is a Burbank, Calif.-based provider of software and services to the entertainment production industry.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.