International-Matex sets $750 million term loan at SOFR plus 325 bps

By Sara Rosenberg

New York, Oct. 5 – International-Matex Tank Terminals (ITT Holdings LLC) firmed pricing on its $750 million seven-year sustainability-linked term loan B (Ba2/BB-) at SOFR plus 325 basis points, the high end of the SOFR plus 300 bps to 325 bps talk, according to a market source.

Also, the original issue discount on the term loan was set at 98, the wide end of the 98 to 98.25 talk, the source said.

The term loan still has a 0.5% floor, 101 soft call protection for six months, a debt service coverage ratio covenant of 1.1x, no CSA and amortization of 1% per annum.

In addition, the term loan has two sustainability key performance indicators that are based on capital expenditures related to renewable and low carbon capacity, and supplier diversity, which will be tested annually and provide for pricing adjustments of up to +/- 7.5 bps.

Security is a first priority security interest in substantially all assets of the borrower and guarantors.

Wells Fargo Securities LLC, CIBC and MUFG are the arrangers on the deal. CIBC is the sustainability structuring agent.

Proceeds will be used to refinance an existing senior secured term loan B due 2028 and to fund cash to the balance sheet.

International-Matex is a New Orleans-based pure play bulk liquid storage and handling provider.

© 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.