First Data, Medical Staffing, IntraLinks set talk; Lear flex rumored; BOC, Hayes, RE/MAX, Berry break

By Sara Rosenberg

New York, May 31 - First Data Corp. released price talk on its credit facility as the deal was launched to senior managing agents on Thursday, Medical Staffing Network Holdings Inc. announced guidance as its deal was launched to retail investors and IntraLinks Inc. came out with official price talk on its in-market deal.

Also in the primary, talk is that Lear Corp.'s term loan B may come wide of the current pricing guidance.

Meanwhile, in the secondary, BOC Edwards, Hayes Lemmerz International, Inc., RE/MAX International Inc. and Berry Plastics Holding Corp. all saw their new bank deals free up for trading.

First Data held a senior managing agent bank meeting on Thursday, and with the launch, pricing guidance on the $16 billion credit facility surfaced, according to a syndicate document.

Both the $2 billion covenant-light six-year revolver and a $14 billion covenant-light seven-year term loan B are being talked at Libor plus 225 basis points to 250 bps, the document said.

The revolver has a 50 bps commitment fee.

A bank meeting for retail investors is expected to take place sometime in the June timeframe.

Credit Suisse, Citigroup, Deutsche Bank, Goldman Sachs, HSBC, Lehman Brothers and Merrill Lynch are the lead banks on the deal.

Proceeds from the facility, along with $8 billion of bonds, will be used to help fund Kohlberg Kravis Roberts & Co.'s leveraged buyout of the company for $34 in cash per share. The total value of the transaction is about $29 billion.

First Data is a Greenwood Village, Colo., provider of electronic commerce and payment services for businesses.

Medical Staffing guidance

Also on the price talk front, Medical Staffing Network guidance emerged as the company held a bank meeting on Thursday afternoon to kick off syndication on its proposed $155 million senior secured credit facility, according to a market source.

The $30 million six-year revolver and the $100 million six-year first-lien term loan B were both presented to lenders with talk of Libor plus 275 bps to 300 bps, and the $25 million seven-year second-lien term loan was presented with talk of Libor plus 600 bps, the source said.

The second-lien term loan carries call protection of 101 for one year, the source added.

General Electric Capital Corp. is the lead bank on the deal.

Proceeds will be used to fund the $92 million cash acquisition of InteliStaf Holdings Inc., to refinance Medical Staffing Network's existing debt and to provide for working capital and general company purposes.

Medical Staffing Network is a Boca Raton, Fla., provider of per diem nurse staffing services. InteliStaf is an Oakbrook Terrace, Ill., health care staffing company.

IntraLinks price talk

IntraLinks released official price talk on its in-market credit facility for the first time since the deal launched to investors with a bank meeting on May 24, according to a market source.

The $15 million revolver (B1/B) and the $100 million term loan B (B1/B) are both being talked at Libor plus 275 bps, and the $50 million PIK toggle first-lien term loan (B1/B) is being talked at Libor plus 300 bps, the source said.

If PIK is elected on the first-lien term loan, then pricing will step up by 50 bps, the source remarked.

IntraLinks' $290 million credit facility also includes a $50 million second-lien term loan and a $75 million holdco PIK loan, with price talk on these tranches currently unavailable, the source added.

Deutsche Bank and Credit Suisse are the joint bookrunners and joint lead arrangers on the deal.

Proceeds will be used to help fund the leveraged buyout of IntraLinks by TA Associates and Rho Capital Partners.

IntraLinks is a New York-based provider of secure, collaborative online digital workspaces for conducting financial transactions, exchanging documents and collaborating with advisers, customers and suppliers.

Lear contemplating flex up

Market speculation is that Lear's $2.6 billion seven-year term loan B may end up with pricing of Libor plus 275 bps, wide of the Libor plus 225 bps to 250 bps price talk that the deal was launched with, according to a market source.

No official word on a flex has emerged as of yet, the source added.

Lear's $3.6 billion senior secured deal (B2/B) also includes a $1 billion five-year revolver that was launched with talk of Libor plus 200 bps to 225 bps.

The revolver has a 50 bps commitment fee.

Bank of America is the lead arranger and bookrunner on the deal that will be used to help fund American Real Estate Partners, LP's acquisition of Lear for $5.3 billion, including the assumption of debt. Lear shareholders will receive $36 per share in cash.

Lear is a Southfield, Mich.-based supplier of automotive seating, electronics and electrical distribution systems. American Real Estate Partners is a New York-based diversified holding company engaged in a variety of businesses and an affiliate of Carl C. Icahn.

WideOpenWest second-lien PIK toggle

WideOpenWest Holdings LLC's $285 million eight-year second-lien term loan (Caa2/CCC) is a PIK toggle deal that calls for a 75 bps step up in pricing if PIK is elected, according to a market source.

As was previously, cash pay price talk on the second-lien term loan is Libor plus 525 bps.

WideOpenWest's $1.31 billion credit facility, which launched with a bank meeting on Thursday, also includes a $925 million seven-year term loan B (B2/B-) talked at Libor plus 250 bps and a $100 million six-year revolver (B2/B-) talked at Libor plus 250 bps, with a 50 bps commitment fee.

Credit Suisse and Deutsche Bank are the joint lead arrangers on the deal, which will be used for a recapitalization.

WideOpenWest is an Englewood, Colo., provider of cable television, high-speed internet and telephone services.

Water Pik second-lien spread firms

Water Pik Inc. firmed up pricing on its $35 million seven-year second-lien term loan (Caa2/CCC) at Libor plus 550 bps, the tight end of original guidance of Libor plus 550 bps to 600 bps, according to a syndicate document.

The company's $112 million credit facility also includes a $15 million five-year revolver (B1/B-) and a $62 million six-year first-lien term loan B (B1/B-), with both tranches priced at Libor plus 325 bps.

The revolver has a 50 bps commitment fee.

Credit Suisse is the lead bank on the deal.

Proceeds will be used to help fund EG Capital's acquisition of a 60% interest in Water Pik Technologies Inc.'s personal health-care business, which operates under the Water Pik brand name, from the Carlyle Group, who will retain the remaining 40% interest.

Water Pik is a Newport Beach, Calif., developer, manufacturer and marketer of pool products and personal health-care products.

BOC Edwards frees to trade

Moving to the secondary, BOC Edwards' credit facility allocated and freed up for trading, with the $430 million first-lien term loan B (B1/BB-) quoted at par ¼ bid, par ½ offered and the $185 million second-lien PIK toggle term loan (B3/B) quoted at 101½ bid, 102½ offered, according to a market source.

The first-lien term loan B is priced at Libor plus 200 bps and the second-lien term loan is priced at Libor plus 575 bps cash pay, with call protection of 102 in year one and 101 in year two.

If the company elects PIK on its second-lien term loan, then the spread will increase by 75 bps.

During syndication, the first-lien term loan B was upsized from $370 million and pricing was reduced from original talk of Libor plus 225 bps to 250 bps and the second-lien term loan was downsized from $245 million and pricing was reduced from original talk of Libor plus 600 bps to 625 bps cash pay.

BOC Edwards' $715 million credit facility also includes a $100 million super-priority revolver (Ba1/BB+) priced at Libor plus 200 bps.

During syndication, pricing on the revolver firmed up at the tight end of original talk of Libor plus 200 bps to 225 bps.

Deutsche Bank, Lehman Brothers, Barclays Bank and RBS Securities acted as the lead banks on the deal.

Proceeds were used to fund CCMP Capital's acquisition of the company from the Linde Group for about €685 million. The completion of the acquisition was announced on Thursday.

BOC Edwards is a manufacturer of vacuum and semiconductor equipment.

Hayes breaks

Also hitting the secondary on Thursday was Hayes Lemmerz, with the $350 million euro-denominated term loan quoted around the par ¼ bid, par ¾ offered context, according to a trader.

The term loan is priced at Libor plus 275 bps.

During syndication, pricing on the term loan was reduced from original talk at launch of Libor plus 300 bps.

Hayes Lemmerz's $495 million senior secured credit facility (B2/B/BB) also includes a $125 million revolver priced at Libor plus 300 bps and a $20 million synthetic letter-of-credit facility priced at Libor plus 275 bps.

During syndication, pricing on the synthetic letter-of-credit facility was also reduced from original talk at launch of Libor plus 300 bps.

Citigroup and Deutsche Bank acted as the joint lead arrangers and joint bookrunners on the deal, the completion of which was announced on Thursday.

Proceeds were used to refinance the company's existing credit facility and for working capital and other general corporate purposes.

Hayes Lemmerz is a Northville, Mich., supplier of automotive and commercial highway wheels, brakes and powertrain components.

RE/MAX trades atop par

RE/MAX was yet another deal to break on Thursday, with the strip of funded and delayed-draw term loan debt quoted at par ¼ bid, par 5/8 offered, according to a trader.

The $145 million eight-month funded term loan B and the $155 million eight-month delayed-draw term loan are both priced at Libor plus 175 bps.

The delayed-draw term loan has a 50 bps undrawn fee.

When the deal was first launched, it was presented with initial price talk of Libor plus 250 bps, but with the condition that pricing could change once ratings came out. It was said that if the corporate rating is at least Ba3/BB-, then pricing on the two term loans would be Libor plus 200 bps, and if the corporate rating is less than Ba3/BB-, then pricing would be Libor plus 250 bps.

Following the launch, ratings came out - though they are private - so price talk was reset to Libor plus 200 bps, before it flexed down by 25 bps during syndication.

Citigroup is the lead bank on the Denver-based real estate company's $300 million deal.

Proceeds from the funded term loan B will be used to fund the acquisitions of independently owned RE/MAX of California and Hawaii, and proceeds from the delayed-draw term loan will be used to fund the acquisitions of independently owned RE/MAX of Carolina and Florida.

Berry trades below par

Berry Plastics' $500 million seven-year senior unsecured PIK toggle term loan (Caa2/CCC+) freed up for trading as well, with levels quoted at 97 bid, 99 offered, according to a trader.

The term loan is priced at Libor plus 625 bps cash pay, was sold to investors with an original issue discount of 97¼ and is non-callable for one year, then at 102 in year two and 101 in year three.

If PIK is elected, pricing on the loan would increase by 75 bps, the source added.

Credit Suisse and Citigroup are the lead banks on the deal, which will be used to fund a dividend.

Berry Plastics is an Evansville, Ind., plastic packaging company.

Gate Gourmet closes

Gate Gourmet Inc. closed on its new CHF 850 million covenant-light credit facility, according to a company news release.

The facility consists of a CHF 125 million revolver (Ba2/B+), a CHF 425 million funded term loan (B2/B) priced at Libor plus 250 bps and a CHF 300 million delayed-draw term loan (B2/B) priced at Libor plus 250 bps.

During syndication, pricing on the funded term loan and the delayed-draw term loan was increased from original talk of Libor plus 225 bps.

Goldman Sachs and Deutsche Bank acted as the lead banks on the deal, which was used to refinance existing debt.

Gate Gourmet is a Zurich, Switzerland, provider of airline catering and provisioning services.

Advanstar closes

Veronis Suhler Stevenson completed its acquisition of Advanstar Holdings Corp. for $1.142 billion in cash, according to a company news release.

To help fund the buyout, Advanstar got a new $835 million credit facility consisting of a $515 million seven-year first-lien term loan B (B1/B) priced at Libor plus 225 bps, a $75 million six-year revolver (B1/B) with a 50 bps commitment fee, and a $245 million 71/2-year second-lien term loan (Caa2/CCC+) priced at Libor plus 500 bps.

During syndication, pricing on the first-lien term loan B was reverse flexed from original talk of Libor plus 250 bps and pricing on the second-lien term loan firmed up at the low end of original guidance of Libor plus 500 bps to 550 bps.

The company also got a $75 million holdco PIK loan.

Credit Suisse and Barclays Capital acted as the lead banks on the deal.

Advanstar is a New York-based media company.

Smart & Final closes

Apollo Management, LP completed its acquisition of Smart & Final Inc. in a transaction valued at approximately $812.9 million, according to a company news release.

To help fund the transaction, Smart & Final got a new $685 million credit facility consisting of a $235 million seven-year covenant-light funded first-lien term loan (B1/B-) priced at Libor plus 300 bps, a $160 million seven-year covenant-light delayed-draw first-lien term loan (B1/B-) priced at Libor plus 300 bps, a $140 million 71/2-year PIK toggle second-lien term loan (B3/CCC) priced at Libor plus 675 bps, or Libor plus 750 bps if PIK is elected, and a $150 million six-year asset-based revolver (Ba1) priced at Libor plus 150 bps, with a 25 bps commitment fee.

The second-lien term loan is non-callable for one year then at 101 in year two.

During syndication, the funded first-lien term loan was upsized from $235 million, pricing on the funded and delayed-draw term loans ended up at the high end of revised talk of 275 bps to 300 bps and wider than the initial talk at launch of Libor plus 225 bps to 250 bps, and the second-lien PIK toggle term loan was downsized from $175 million with pricing flexing up from revised guidance of Libor plus 600 bps to 625 bps and initial talk at launch of Libor plus 575 bps, and call protection changing from 102 in year one and 101 in year two.

Credit Suisse, Bank of America and Bear Stearns acted as the joint lead arrangers and joint bookrunners on the deal.

Smart & Final is a City of Commerce, Calif., operator of non-membership warehouse stores for food and foodservice supplies.

Western Refining closes

Western Refining, Inc. completed its acquisition of Giant Industries, Inc. for $77 per share in cash, according to a news release.

To help fund the deal, Western Refining got a new $1.9 billion senior secured credit facility consisting of a $500 million revolver, a $1.125 billion term loan B (B1/BB-) priced at Libor plus 175 bps and a $275 million delayed-draw term loan (B1/BB-) priced at Libor plus 175 bps, with a 75 bps unused fee.

Bank of America acted as the lead bank on the deal.

Western Refining is an El Paso, Texas, independent refiner and marketer.

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