Del Monte lifts term loan to $600 million, firms at SOFR plus 425 bps

By Sara Rosenberg

New York, Feb. 15 – Del Monte Foods Inc. upsized its seven-year term loan B (B3/B) to $600 million from $525 million and finalized pricing at SOFR+CSA plus 425 basis points, the low end of the SOFR+CSA plus 425 bps to 450 bps talk, according to a market source.

The term loan still has a 0.5% floor, an original issue discount of 99, CSA of 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate, 101 soft call protection for six months, amortization of 1% per annum, and ticking fees of half the margin for days 31 to 60 and the full margin thereafter.

Goldman Sachs Bank USA, JPMorgan Chase Bank, Wells Fargo Securities LLC, BMO Capital Markets and MUFG are the lead arrangers on the deal. Goldman is the administrative agent.

Recommitments were scheduled to be due at noon ET on Tuesday, the source added.

Proceeds will be used to refinance the company’s existing capital structure, and the funds from the upsizing will repay some ABL borrowings.

Del Monte is a producer, distributor and marketer of plant-based food products.

© 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.