MaxLinear shelves repricing; Crown Holdings, Spectrum Plastics, PQ, EagleView set talk

By Sara Rosenberg

New York, Jan. 9 – In the loan market on Tuesday, MaxLinear Inc. removed the repricing of its term loan from the primary market, and Crown Holdings Inc., Spectrum Plastics Group, PQ Corp. and EagleView Technology Corp. came out with price talk on their new transactions with launch.

Also, Verifone Inc. credit facilities structure and price talk were disclosed ahead of its upcoming lender call, and Xperi Corp., Flexera, Ping Identity and CSC Holdings LLC surfaced with new deal plans.

MaxLinear pulled

MaxLinear withdrew its $355 million term loan due May 2024 from market for corporate reasons, according to an informed source.

The loan was talked at Libor plus 225 basis points with a 0.75% Libor floor, an original issue discount of 99.875 to par and 101 soft call protection for six months.

J.P. Morgan Securities LLC was leading the deal that would have repriced an existing term loan down from Libor plus 250 bps with a 0.75% Libor floor.

MaxLinear is a Carlsbad, Calif.-based provider of integrated radio frequency and mixed-signal integrated circuits for the connected home and wired and wireless infrastructure markets.

Crown releases guidance

Crown Holdings held its London bank meeting on Tuesday, and with the event price talk was announced on its $1.25 billion seven-year covenant-light senior secured term loan B (Baa2/BB+) and €750 million seven-year covenant-light senior secured term loan B (Baa2/BB+), according to a market source.

A bank meeting for U.S. investors will take place at 10:30 a.m. ET in New York on Wednesday.

The U.S. term loan is talked at Libor plus 225 bps and the euro term loan is talked at Euribor plus 275 bps, the source said. Both loans have a 0% floor, an original issue discount of 99.75, 101 soft call protection for six months and a ticking fee of half the spread from days 46 to 75 and the full spread thereafter.

Commitments are due at 5 p.m. ET on Jan. 18, the source added.

Crown lead banks

Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Bank of America Merrill Lynch, BNP Paribas Securities Corp., Mizuho, Bank of Nova Scotia, Santander, TD Securities (USA) LLC and Wells Fargo Securities LLC are leading Crown Holdings’ term loans, with Citigroup the left lead. Deutsche Bank is the administrative agent.

Proceeds will be used with an expected bond issuance to fund the acquisition of Signode Industrial Group Holdings (Bermuda) Ltd. from the Carlyle Group in a cash transaction valued at $3.91 billion, subject to customary closing adjustments.

Pro forma net leverage will be 5.1 times as of Sept. 30, 2017, and total net leverage will be 5.3 times as of Sept. 30, 2017.

Closing is expected this quarter, subject to review by various competition authorities.

Crown Holdings is a Philadelphia-based provider of consumer packaging. Signode is a Glenview, Ill.-based provider of transit packaging systems and solutions.

Spectrum Plastics launches

Spectrum Plastics Group came out with talk on its $430 million seven-year covenant-light first-lien term loan, $45 million seven-year delayed-draw first-lien term loan and $160 million eight-year second-lien term loan in connection with its bank meeting during the session, a market source remarked.

Talk on the first-lien term loan debt is Libor plus 350 bps with a 1% Libor floor and an original issue discount of 99.5, and talk on the second-lien term loan is Libor plus 750 bps with a 1% Libor floor and a discount of 99, the source continued.

Call protection on the first-lien term loan is a 101 soft call for six months and the second-lien term loan has hard call protection of 102 in year one and 101 in year two.

The delayed-draw loan has a two-year delayed-draw period and a ticking fee of 1% for six months, then half the margin from months seven to 12 and the full margin thereafter.

Spectrum getting revolver

In addition to the term loans, Spectrum Plastics’ $680 million of credit facilities include a $45 million five-year revolver.

Commitments are due on Jan. 24, the source added.

Antares Capital, KeyBanc Capital Markets, Bank of Ireland and Citizens are leading the deal that will be used to help fund the buyout of the company by AEA Investors from Kohlberg & Co.

Spectrum Plastics is an Atlanta-based designer, developer and manufacturer of highly-engineered polymer-based solutions used in medical and other specialty end-markets.

PQ details emerge

PQ held its lender call in the morning, launching a $1,255,000,000 seven-year senior secured covenant-light term loan at talk of Libor plus 275 bps to 300 bps with a 0% Libor floor, an original issue discount of 99.75 and 101 soft call protection for six months, a market source said.

Commitments are due at 5 p.m. ET on Jan. 17, the source added.

Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc., J.P. Morgan Securities LLC, Jefferies LLC, Goldman Sachs Bank USA, Deutsche Bank Securities Inc. and KeyBanc Capital Markets are leading the deal that will be used to refinance existing U.S. and euro term loans. Credit Suisse is the administrative agent.

Closing is expected on Feb. 8.

PQ is a Malvern, Pa.-based producer of specialty inorganic performance chemicals and catalysts.

EagleView discloses talk

EagleView Technology launched on its morning call its $334,091,094 covenant-light senior secured first-lien term loan B due July 15, 2022 at talk of Libor plus 350 bps to 375 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments/consents are due at 5 p.m. ET on Thursday, the source said.

Morgan Stanley Senior Funding Inc. and Nomura Securities International Inc. are leading the deal that will be used to reprice an existing term loan B down from Libor plus 425 bps with a 1% Libor floor.

EagleView is a Bothell, Wash.-based technology provider of aerial imagery, data analytics and GIS solutions.

Verifone terms surface

Also in the primary market, Verifone intends to launch on its previously announced lender call on Thursday $1.4 billion of credit facilities (Ba2), split between a $700 million revolver, a $350 million term loan A and a $350 million term loan B, a market source said.

Talk on the term loan B is Libor plus 225 bps with a 0% Libor floor, an original issue discount of 99.5 to 99.75 and 101 soft call protection for six months, the source added.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance the company’s existing credit facilities.

Verifone is a San Jose, Calif.-based company that makes secure electronic payment equipment.

Xperi on deck

Xperi set a lender call for 2 p.m. ET on Wednesday to launch a repricing of its existing term loan B, a market source remarked.

RBC Capital Markets is leading the deal.

Xperi, formerly known as Tessera Holding Corp., is a San Jose, Calif.-based licenser of technologies and intellectual property.

Flexera coming soon

Flexera will hold a bank meeting on Jan. 16 to launch $675 million of funded first-and second-lien credit facilities, according to a market source.

Jefferies LLC is the left lead on the deal that will be used with equity to refinance existing debt and fund the purchase of a minority equity stake in the company by TA Associates. Ontario Teachers’ Pension Plan will remain the majority owner of the company.

Closing is expected in February.

Flexera is an Itasca, Ill.-based software company.

Ping joins calendar

Ping Identity scheduled a bank meeting for 10 a.m. ET in New York on Thursday to launch $265 million of credit facilities (B-), a market source said.

The facilities consist of a $25 million revolver and a $240 million first-lien term loan, the source added.

Goldman Sachs Bank USA, Antares Capital, Macquarie Capital (USA) Inc. and Vista are leading the deal that will be used to refinance existing debt.

Ping Identity is a Denver-based provider of enterprise grade identity & access management solutions across hybrid IT deployments.

CSC readies loan

CSC Holdings set a lender call for 11 a.m. ET on Wednesday to launch a $500 million eight-year incremental term loan B talked at Libor plus 250 bps to 275 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source remarked.

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

J.P. Morgan Securities LLC, Goldman Sachs Bank USA, BNP Paribas Securities Corp. and Credit Agricole are leading the deal that will be used with a $500 million senior notes offering, $500 million of revolver borrowings and cash on hand to fund a $1.5 billion dividend to Cablevision, the direct parent of CSC, and to pay fees and expenses.

Cablevision will then use those funds to pay a dividend to its parent, Altice USA Inc., which will in turn use those proceeds to fund a dividend to its stockholders immediately prior to and in connection with the separation of Altice USA from Altice N.V.

CSC Holdings is a Bethpage, N.Y.-based cable operator.

BWIC announced

Moving to the secondary market, a roughly $105 million Bid Wanted In Competition emerged with bids due at 11 a.m. ET on Wednesday, according to a trader.

Some of the names in the portfolio are Acosta Holdco Inc., CenturyLink Inc., Gigamon Inc., Internet Brands Inc., Jo-Ann Stores Inc., Misys Ltd., Pharmaceutical Product Development Inc., Sequa Corp., SRS Distribution Inc., TruGreen LP, USI Holdings Corp. and Zep Inc.

There are about 122 issuers in the BWIC, the trader added.

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