U.S. Silica, Atlas Energy break; Gardner Denver, TridentUSA, Midcontinent revisions emerge

By Sara Rosenberg

New York, July 22 - U.S. Silica Holdings Inc.'s credit facility hit the secondary market on Monday, with levels on the term loan seen above its original issue discount price, and Atlas Energy LP began trading as well.

Moving to the primary, Gardner Denver Inc. increased the size of its U.S. term loan as its bond offering was downsized, tightened the spread on the loan for a second time, revised the original issue discount and returned the call protection to its originally proposed structure.

In addition, TridentUSA Health Services lifted the spreads on its first- and second-lien term loans, and Midcontinent Communications reduced the coupon and Libor floor on its term loan B.

Furthermore, MultiPlan Inc. and Asurion LLC launched add-on loans, and Yonkers Racing Corp., Reynolds & Reynolds Co., Enven Energy Ventures LLC, U.S. Renal Care Inc., Van Wagner Communications LLC, Toys 'R' Us Inc. and CDW LLC came out with new deal plans.

U.S. Silica starts trading

U.S. Silica's credit facility freed up for trading on Monday, with the $375 million term loan due May 2020 quoted at par bid, par ¾ offered, according to a trader.

Pricing on the term loan is Libor plus 300 basis points with a 1% Libor floor, and it was sold at an original issue discount of 99½ on new money. There is 101 soft call protection for six months.

During syndication, the spread on the loan firmed at the tight end of the Libor plus 300 bps to 325 bps talk.

The company's $425 million senior secured credit facility (B1/BB-) also includes a $50 million revolver due July 2018.

BNP Paribas Securities Corp. is leading the deal that is being used to refinance existing senior debt, including a $50 million asset-based revolver and a $255 million term loan.

U.S. Silica is a Frederick, Md.-based producer of ground and unground silica sand, kaolin clay, aplite and related industrial minerals.

Atlas tops par

Atlas Energy's $240 million six-year term loan B (B3/B) broke as well, with levels quoted at par ¼ bid, 101¼ offered, according to a trader.

Pricing on the loan is Libor plus 550 bps with a 1% Libor floor, and it was sold at an original issue discount of 99. There is hard call protection of 102 in year one and 101 in year two.

Recently, the loan saw pricing flex from talk of Libor plus 600 bps to 625 bps.

Deutsche Bank Securities Inc. and Wells Fargo Securities LLC are leading the transaction.

Proceeds help fund the $800 million acquisition of natural gas proved reserves in the Raton, N.M., Black Warrior, Ala., and Arkoma Basin, Okla., basins from EP Energy E&P Co. LP.

Closing is expected in the third quarter, subject to purchase price adjustments.

Atlas Energy is a Pittsburgh-based master limited partnership that owns an interest in producing natural gas and oil wells.

OWIC surfaces

In more secondary happenings, a $136 million Offers Wanted In Competition was announced in the afternoon, with offers due at noon ET on Wednesday, a trader remarked.

Larger pieces of debt in the portfolio include Albertson's LLC's term loan B-1, Allied Security Holdings LLC's term loan, Colfax Corp.'s term loan A-1/A-2 facility, Crown Castle Operating Co.'s term loan A, Fairmount Minerals' term loan B, Kenan Advantage Group Inc.'s term loan, SS&C Technologies Holdings Europe Sarl's funded term loan A-2, SunGard Data Systems Inc.'s term loan C and Windstream Corp.'s term loan A-3.

There are about 24 issuers in the portfolio, the trader added.

BWIC announced

A $12 million loan and reorganization equity Bids Wanted In Competition emerged in the morning, and bids are due at 11 a.m. ET on Tuesday, according to a trader.

Some of the names included in the portfolio are AMF Bowling Worldwide Inc., Biomet Inc., Koosharem LLC, Nuveen Investments Inc. and Texas Competitive Electric Holdings.

There are about 30 issuers in the portfolio, the trader added.

Gardner Denver reworked

Over in the primary, Gardner Denver lifted its seven-year U.S. term loan to $1.9 billion from $1.8 billion, lowered pricing to Libor plus 325 bps from revised talk of Libor plus 350 bps and initial talk of Libor plus 400 bps to 425 bps, moved the original issue discount to 99½ from 99 and changed the 101 soft call protection back to one year from revised talk of six months, according to a market source.

The U.S. term loan still has a 1% Libor floor.

Recommitments were due by 12:30 p.m. ET on Monday, the source remarked.

As a result of the term loan upsizing, the company cut its senior unsecured notes offering to $575 million from $675 million, the source added.

The company's now $2,825,000,000 senior secured credit facility (B1/B) also provides for a $525 million seven-year euro term loan and a $400 million five-year revolver.

Gardner lead banks

UBS Securities LLC, Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities, Mizuho Corporate Bank Ltd., RBC Capital Markets, Macquarie Capital and HSBC Securities (USA) Inc. are the bookrunners on Gardner Denver's credit facility and the joint lead arrangers with KKR Capital Markets and Sumitomo Mitsui Banking.

Proceeds from the new debt will be used to help fund the buyout of the company by Kohlberg Kravis Roberts & Co. LP for $76 per share in cash. The transaction is valued at about $3.9 billion, including the assumption of debt.

Closing is expected in the third quarter, subject to shareholder approval, regulatory approvals and other customary conditions.

Gardner Denver is a Wayne, Pa.-based manufacturer of industrial compressors, blowers, pumps, loading arms and fuel systems.

TridentUSA flexes

TridentUSA Health Services raised pricing on its $340 million seven-year first-lien term loan (B1/B) to Libor plus 525 bps from talk of Libor plus 450 bps to 475 bps, while keeping the 1.25% Libor floor, original issue discount of 99 and 101 soft call protection for one year intact, a market source said.

In addition, pricing on the $155 million 71/2-year second-lien term loan (Caa1/CCC+) was revised to Libor plus 900 bps from Libor plus 850 bps, the source remarked. This tranche still has a 1.25% Libor floor, a discount of 98 and call protection of 103 in year one, 102 in year two and 101 in year three.

The company's $570 million credit facility, for which recommitments are due at 5 p.m. ET on Tuesday, also includes a $75 million revolver (B1/B).

Citigroup, GE Capital Markets and RBC are leading the deal that will be used to refinance existing debt, to fund the acquisition of Life Choice Hospice and to monetize existing shareholders for the dilution of their ownership stakes via a new equity infusion from a group of new and existing investors.

TridentUSA is a Burbank, Calif.-based provider of bedside diagnostics services.

Midcontinent cuts pricing

Midcontinent Communications trimmed pricing on its $225 million seven-year term loan B to Libor plus 275 bps from Libor plus 300 bps and reduced the Libor floor to 0.75% from 1%, according to a market source.

As before, the B loan has a par offer price and 101 soft call protection for six months.

The company's $475 million credit facility (Ba3/BB-) also includes a $125 million five-year revolver and a $125 million five-year term loan A.

SunTrust Robinson Humphrey Inc., RBC, Wells Fargo, U.S. Bank and TD Securities (USA) LLC are leading the deal that will be used to refinance an existing credit facility.

Senior leverage is 2.2 times.

Midcontinent Communications is a Sioux Falls, S.D.-based provider of cable television, local and long-distance digital telephone service and high-speed internet access.

MultiPlan holds call

Also in the primary, MultiPlan launched with a call at 11 a.m. ET on Monday a $100 million add-on term loan (Ba2/B+) that is talked at Libor plus 300 bps with a 1% Libor floor, a par offer price and 101 soft call protection through February 2014, according to a market source.

Pricing as well as call protection on the add-on are in line with the existing term loan.

Commitments are due at 5 p.m. ET on Tuesday, the source said.

Barclays, Bank of America Merrill Lynch and Credit Suisse Securities (USA) LLC are leading the deal that will be used with $750 million of senior PIK toggle notes to fund a distribution to shareholders.

MultiPlan is a New York-based provider of health-care cost management services.

Asurion brings add-on

Asurion launched a $400 million add-on term loan B-2 due in 2020 with talk of Libor plus 275 bps with a 0.75% Libor floor, an original issue discount of 97 to 98 and 101 soft call protection through February 2014, and, by the end of the day, the discount price had finalized at 971/2, according to a market source.

The spread, Libor floor and call protection are in line with the existing term loan B-2, which is fungible with the add-on.

Commitments were due at 1:30 p.m. ET on Monday, the source remarked.

Morgan Stanley Senior Funding Inc. and Credit Suisse are leading the deal that will be used to fund general corporate purposes, which may include calling/tendering the existing Holdco loan, funding a return of capital to shareholders and funding potential future acquisitions.

Asurion is a Nashville-based provider of technology protection services.

Tata launches

Tata Chemicals North America held its Monday afternoon bank meeting, launching its $315 million seven-year term loan B at previously outlined talk of Libor plus 300 bps with a 1% Libor floor, an original issue discount of 98 to 99 and 101 soft call protection for one year, a market source said.

The company's $340 million credit facility also includes a $25 million five-year revolver.

J.P. Morgan Securities LLC is the lead bank on the deal that will be used to refinance existing debt.

Tata Chemicals is a Rockaway, N.J.-based natural soda ash producer.

Yonkers on deck

Yonkers Racing set a call for 10 a.m. ET on Wednesday to launch $315 million of new term loans that will be used to redeem 11 3/8% senior secured notes due 2016, according to a market source.

The debt consists of a $245 million first-lien term loan talked at Libor plus 350 bps to 375 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months and a $70 million second-lien term loan talked at Libor plus 750 bps with a 1.25% Libor floor, a discount of 99 and hard call protection of 103 in year one, 102 in year two and 101 in year three, the source said.

JPMorgan is leading the deal.

Yonkers Racing is an owner and operator of a gaming and entertainment facility comprised of Empire City Casino and Yonkers Raceway.

Reynolds joins calendar

Reynolds & Reynolds is planning a bank meeting for 3:30 p.m. ET on Wednesday to launch a $3,425,000,000 credit facility, according to a market source.

The facility consists of a $25 million revolver, a $550 million five-year term loan A, a $1.75 billion seven-year term loan B and a $1.1 billion 71/2-year second-lien term loan, the source said.

Proceeds from the Deutsche Bank-led deal will be used for a recapitalization.

Reynolds & Reynolds is a Kettering, Ohio-based provider of software, business forms and supplies and professional services that support automotive retailing for car dealers and automakers.

Enven readies loan

Enven Energy Ventures will hold a bank meeting at 2 p.m. ET in New York on Tuesday to launch a $150 million five-year second-lien term loan that will sit behind a $60 million ABL facility, according to a market source.

Credit Suisse and BMO Capital Markets are leading the deal, for which commitments are due on Aug. 6, the source said.

Proceeds will be used to repay existing debt and preferred equity and for general corporate purposes.

Enven is an exploration and production company in the Gulf of Mexico.

U.S. Renal plans deal

U.S. Renal Care set a bank meeting with a 9 a.m. ET registration time on Wednesday to launch $495 million of incremental term loans to fund its acquisition of Ambulatory Services of America Inc., according to a market source.

The debt consists of a $335 million incremental first-lien term loan due July 3, 2019 and a $160 million incremental second-lien term loan due Jan. 3, 2020, the source said.

Barclays, RBC, Goldman Sachs Bank USA and SunTrust Robinson Humphrey are leading the deal.

Closing is expected in August.

U.S. Renal is a Plano, Texas-based developer, acquirer and operator of outpatient treatment centers for persons suffering from chronic kidney failure. Ambulatory Services is a Brentwood, Tenn.-based health-care services company that provides alternative site services in partnership with physicians.

Van Wagner on deck

Van Wagner Communications scheduled a call for 11 a.m. ET on Tuesday to launch a $222.5 million senior secured term loan B due August 2018, according to a market source.

Barclays is leading the deal for the out-of-home advertising company.

Further details on the transaction are not yet available, the source added.

Toys 'R' Us coming soon

Toys 'R' Us will host a bank meeting at 10 a.m. ET on Tuesday to launch a $985 million six-year covenant-light term loan, according to a market source.

Goldman Sachs, Bank of America Merrill Lynch, Deutsche Bank and JPMorgan are leading the deal that will be used to refinance the company's 10¾% notes.

Toys 'R' Us is a Wayne, N.J.-based toy retailer.

CDW sets call

CDW scheduled a call for 11 a.m. ET on Wednesday to launch a $190 million incremental term loan B due April 2020 that is talked at Libor plus 250 bps with a step-down to Libor plus 225 bps at 4 times net total leverage, a 1% Libor floor, an original issue discount of 98½ to 99 and 101 soft call protection through April 2014, according to a market source.

JPMorgan is the left lead bank on the deal.

Proceeds will be used to refinance existing subordinated notes.

CDW is a Vernon Hills, Ill.-based provider of integrated information technology solutions.

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