Pregis firms $615 million first-lien term loan at Libor plus 400 bps

By Sara Rosenberg

New York, July 24 – Pregis LLC set pricing on its $615 million seven-year covenant-lite first-lien term loan (B2/B) at Libor plus 400 basis points, the low end of the Libor plus 400 bps to 425 bps talk, and added a 25 bps step-down, according to a market source.

In addition, the original issue discount on the term loan was changed to 99.5 from 99, the source said.

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

Recommitments are due at 10 a.m. ET on Thursday, the source added.

The company’s $955 million of credit facilities also include a $125 million revolver (B2/B) and a $215 million privately placed second-lien term loan.

Credit Suisse Securities (USA) LLC, Barclays, Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc. and UBS Investment Bank are the arrangers on the deal.

Proceeds will be used to help fund the buyout of the company by Warburg Pincus from Olympus Partners.

Pregis is a Deerfield, Ill.-based protective packaging materials and automated systems manufacturer.

© 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.