BMC Software, Midcoast, Ufinet, AOC/Aliancys, AmWINS, Focus, Screenvision, Oasis break

By Sara Rosenberg

New York, June 28 – BMC Software moved some funds between its U.S. and euro term loans, finalized pricing at the high end of revised guidance, modified original issue discounts and sweetened the call protection, and Midcoast (AL Midcoast Holdings LLC) lifted the spread on its term loan B, and then these deals made their way into the secondary market on Thursday.

Also, before breaking for trading, Ufinet International (Zacapa LLC) increased pricing on its term loan and adjusted the issue price, and AOC/Aliancys (Composite Resins Holding BV) firmed the original issue discount on its term loan B at the tight end of revised talk.

AmWINS Group LLC firmed the original issue discount on its add-on first-lien term loan at the narrow end of talk and then freed up, and deals from Focus Financial Partners LLC, Screenvision LLC and Oasis Outsourcing Holdings Inc. began trading too.

In more happenings, HireRight (Genuine Financial Holdings LLC) finalized the spread on its first-lien term loan at the high end of talk, and Stars Group Inc. updated its U.S. and euro term loan sizes, terminated plans for a pound sterling loan and lifted pricing on the euro tranche.

Additionally, Savage Enterprises LLC, GPS Hospitality and Aveanna Healthcare LLC increased pricing on their term loans, widened issue prices and extended call premiums, and BBB Industries LLC lifted pricing on its first-and second-lien term loans and modified the issue price on its first-lien tranche.

Furthermore, PHI Inc. upsized its term loan B while sweetening the spread, original issue discount and call protection, Yak Mat LLC moved some funds between its first-and second-lien term loans, and modified spreads, issue prices and call premiums, and Metro-Goldwyn-Mayer Inc. downsized its second-lien term loan, upsized its revolver and set pricing on its first-and second-lien term debt at the wide end of talk.

BMC reworked

BMC Software trimmed its U.S. seven-year term loan B to $3.3 billion from $3,375,000,000 and firmed pricing at Libor plus 425 basis points, the high end of the revised talk of Libor plus 400 bps to 425 bps and wide of initial talk in the range of Libor plus 350 bps to 375 bps, according to a market source.

Furthermore, the company increased its euro seven-year term loan B to €930 million from €855 million, and finalized the spread at Euribor plus 475 bps, the high end of revised talk of Euribor plus 450 bps to 475 bps and wide of initial talk in the range of Euribor plus 400 bps to 425 bps, the source said.

Also, the original issue discount on both term loans widened to 99 from 99.5 and the 101 soft call protection was extended to one year from six months.

As before, the term loans have a 0% floor.

The company’s $4,775,000,000 equivalent of credit facilities (B2/B) also include a $400 million five-year revolver.

BMC hits secondary

Recommitments for BMC’s credit facilities were due at noon ET on Thursday and then the debt emerged in the secondary market, with the U.S. term loan B quoted at 99¼ bid, 99½ offered, a trader added.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Jefferies LLC, KKR Capital Markets, Macquarie Capital (USA) Inc., Mizuho Bank and Barclays are leading the deal that will be used to help fund the buyout of the company by KKR from a private investor group led by Bain Capital Private Equity and Golden Gate Capital together with GIC, Insight Venture Partners and Elliott Management.

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

BMC is a Houston-based provider of software solutions for the digital enterprise.

Midcoast flexes, trades

Midcoast raised pricing on its $600 million seven-year first-lien term loan B (BB-/BB) to Libor plus 550 bps from Libor plus 500 bps, and left the 0% Libor floor, original issue discount of 99 and 101 soft call protection for six months unchanged, a market source said.

Commitments were due at noon ET on Thursday and in the afternoon the loan freed to trade, with levels quoted at 99½ bid, par ¼ offered, a trader added.

Credit Suisse Securities (USA) LLC, Barclays and MUFG are leading the deal that will be used to fund the buyout of the company by ArcLight Capital Partners LLC from Enbridge Inc.

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

Midcoast is a provider of natural gas and natural gas liquids services.

Ufinet widens, frees up

Ufinet increased pricing on its $525 million seven-year covenant-light first-lien term loan (B2/B-) to Libor plus 500 bps from Libor plus 450 bps and revised the original issue discount to 99 from 99.5, while leaving the 0.75% Libor floor and 101 soft call protection for six months intact, according to a market source.

After terms finalized, the loan broke for trading and levels were quoted at 99½ bid, par ½ offered, a trader said.

Credit Suisse Securities (USA) LLC, UBS Investment Bank, Natixis, Bank of Nova Scotia and Santander are leading the deal that will be used to fund the acquisition of the company by Cinven’s Sixth Cinven Fund.

Ufinet is a Madrid-based provider of fiber infrastructure and transmission services to telecom operators across 14 countries, including Colombia, Panama, Guatemala and Costa Rica.

AOC/Aliancys sets OID

AOC/Aliancys finalized the original issue discount on its $510 million seven-year senior secured covenant-light term loan B at 98.5, the tight end of revised talk of 98 to 98.5 and wide of initial talk of 99.5, a market source said.

The term loan is priced at Libor plus 425 bps with a 1% Libor floor, and has 101 soft call protection for one year.

On Wednesday, the term loan was upsized from $500 million, pricing was increased from talk in the range of Libor plus 375 bps to 400 bps, a 25 bps pricing step-down at 3 times net leverage was removed, the call protection was extended from six months, the MFN was changed to 50 bps for life with no carve-out from 75 bps with a 12-month sunset, and revisions were made to the excess cash flow sweep, the incremental facilities, asset sale, restricted payments/permitted investments and the EBITDA definition.

Citigroup Global Markets Inc., Barclays, Deutsche Bank Securities Inc., Rabobank and Jefferies LLC are leading the deal.

AOC/Aliancys breaks

In the afternoon, AOC/Aliancys’s term loan B began trading and levels were seen at 99¼ bid, par ¼ offered, another source added.

The new debt will be used to fund the acquisition of AOC LLC by CVC Capital Partners and the merger of AOC with a portion of the Aliancys company, and to refinance existing debt.

Closing is expected in late July, subject to customary regulatory approvals.

AOC is a Collierville, Tenn.-based producer of resin chemistries for composites and cast polymer applications. Aliancys, a CVC portfolio company and joint venture with Royal DSM, is a Schaffhausen, Switzerland-based manufacturer of quality resins.

AmWINS updated, trades

AmWINS Group set the original issue discount on its fungible $290 million add-on first-lien term loan (B1/B+) due Jan. 25, 2024 at 99.5, the tight end of the 99.25 to 99.5 talk, a market source remarked.

The add-on term loan is priced at Libor plus 275 bps with a 1% Libor floor, in line with the existing term loan, and has 101 soft call protection for six months.

By late day, the loan hit the secondary market and levels were quoted at 99½ bid, 99¾ offered, another source added.

Goldman Sachs Bank USA, Barclays, J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and Wells Fargo Securities LLC are leading the deal that will be used with a $300 million senior notes offering to refinance the company’s drawn revolver balance, repay its second-lien term loan and pay a roughly $330 million distribution to shareholders.

In connection with the add-on, the company is amending its credit agreement to allow for the repayment of second-lien term loan borrowings with unsecured debt.

AmWINS is a Charlotte, N.C.-based specialty insurance broker.

Focus frees up

Focus Financial Partners’ $803 million covenant-light term loan B due July 2024 broke for trading at par bid, par 3/8 offered, a trader remarked.

Pricing on the loan is Libor plus 250 bps with a 0% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan was increased from Libor plus 225 bps, plans for a $150 million delayed-draw for six months covenant-light term loan B were terminated and the revolver was upsized to $650 million from $500 million.

The delayed-draw term loan was talked at Libor plus 225 bps with a 0% Libor floor, an original issue discount of 99.75 to par and an undrawn fee of half the margin from days 46 to 90 and the full margin thereafter.

RBC Capital Markets is the left lead on the deal that will be used to refinance the company’s capital structure.

Stone Point Capital LLC and Kohlberg Kravis Roberts & Co. LP are the sponsors.

Focus Financial is a New York-based partnership of independent, fiduciary wealth-management firms.

Screenvision starts trading

Screenvision’s $175 million seven-year covenant-light first-lien term loan (B1/B) freed up too, with levels seen at 99 bid, par offered, according to a trader.

Pricing on the term loan is Libor plus 475 bps with a step-down to Libor plus 450 bps at 2.75 times net first-lien leverage and a 0% Libor floor. The debt was sold at an original issue discount of 99 and has 101 soft call protection for one year.

During syndication, pricing on the loan was increased from talk in the Libor plus 400 bps area, the discount widened from 99.5 and the call protection was extended from six months.

Deutsche Bank Securities Inc. is leading the deal that will be used to help fund the acquisition of a controlling stake in the company by Abry Partners. The company’s existing owners, Shamrock Capital and AMC Entertainment, will maintain minority stakes.

Closing is expected during the week of July 2.

Screenvision is a New York-based provider of cinema advertising, on-screen advertising, in-lobby promotions and integrated marketing programs.

Oasis tops issue price

Oasis Outsourcing’s fungible $87 million add-on first-lien term loan due June 30, 2023 broke as well, with levels seen at par 3/8 bid, par 7/8 offered, a trader remarked.

Pricing on the add-on term loan is Libor plus 325 bps with a 1% Libor floor, in line with existing term loan pricing, and the new debt was issued at par.

RBC Capital Markets, SunTrust Robinson Humphrey Inc., Citizens Bank and KeyBanc Capital Markets are leading the deal that will be used to fund acquisitions.

Oasis Outsourcing, a Stone Point Capital and Kelso & Co. owned company, is a West Palm Beach, Fla.-based provider of comprehensive and cost-effective HR outsourcing services to small- and medium-sized businesses.

OWIC announced

Also in trading, a $174 million Offers Wanted In Competition emerged, with offers due by 10 a.m. ET on Friday, a trader said.

Some of the names in the portfolio are Advanced Disposal Services Inc., Chobani LLC, JBS USA Lux SA, Prestige Brands Inc., Reece Group Ltd., United Airlines Inc. and Ziggo Secured Finance BV.

There are about 76 issuers in the OWIC, the trader added.

HireRight firms

Back in the primary market, HireRight set pricing on its $835 million seven-year covenant-light first-lien term loan (B2/B) at Libor plus 375 bps, the high end of the Libor plus 350 bps to 375 bps talk, and left the 0% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months unchanged, a market source said.

The company’s $215 million eight-year covenant-light second-lien term loan (Caa2/CCC+) priced in line with talk at Libor plus 725 bps with a 0% Libor floor and a discount of 99, and still has hard call protection of 102 in year one and 101 in year two.

Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC and Citizens are leading the $1.05 billion in term loans, with Bank of America left on the first-lien loan and Credit Suisse left lead on the second-lien.

Proceeds will be used with an equity contribution from Stone Point and General Atlantic, and cash on hand to fund the merger of HireRight and General Information Services, a General Atlantic portfolio company.

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

Irvine, Calif.-based HireRight and Chapin, S.C.-based General Information Services are providers of background screening and talent acquisition services.

Stars Group restructures

Stars Group set its U.S. seven-year covenant-light term loan B at $3,575,000,000 and its euro seven-year covenant-light term loan B at €850 million, and terminated plans for a £400 million seven-year covenant-light term loan B, a market source remarked.

By comparison, at launch, the term loan debt was described as a total of $4,975,000,000 equivalent split between a U.S. dollar tranche, a €1 billion tranche and the now dropped £400 million tranche.

Also, pricing on the euro loan was raised to Euribor plus 375 bps from Euribor plus 350 bps.

Pricing on the U.S. loan is still Libor plus 350 bps, and both term loans still have a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months.

The pound sterling loan had been talked at Libor plus 425 bps with a 0% Libor floor and a discount of 99.5.

Books closed at the end of the day on Thursday and allocations are targeted for Friday, the source added.

Stars Group leads

Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, Macquarie Capital (USA) Inc., Barclays, BMO Capital Markets and J.P. Morgan Securities LLC are leading Stars Group’s term loan debt.

Proceeds will be used with $1 billion in senior notes, upsized from $750 million, to fund the acquisition of Sky Betting & Gaming from CVC Capital Partners and Sky plc for about $4.7 billion, of which $3.6 billion is payable in cash and the remainder is payable in around 37.9 million newly issued common shares.

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

Stars Group is a Toronto-based provider of technology-based products and services in the gaming and interactive entertainment industries. Sky Betting is an online betting and gaming company.

Savage modifies loan

Savage Enterprises raised pricing on its $1.1 billion seven-year term loan B (B1/B+) to Libor plus 450 bps from talk in the range of Libor plus 325 bps to 350 bps, changed the original issue discount to 98 from 99.5 and extended the 101 soft call protection to one year from six months, according to a market source.

Also, amortization was increased to 5% per annum in years one, two and three and 1% per annum thereafter, from 1% per annum, a net first-lien leverage covenant of 5.25 times was added to the previously covenant-light term loan and MFN was revised to 50 bps for life, the source said.

Furthermore, the incremental was reduced to $225 million from $300 million, the EBITDA grower was eliminated, the ratio debt was lowered to 3 times from 3.5 times and the ABL was removed from the shared incremental.

Additionally, the available restricted payment amount was reduced to the greater of $30 million and 10% of EBITDA from $50 million and 15% of EBITDA, a 20% cap was placed on EBITDA addbacks and the company is required to hold quarterly calls with management discussion and analysis.

The term loan still has a 0% Libor floor.

Savage getting revolver

Along with the term loan B, Savage Enterprises’ $1.5 billion of senior secured credit facilities include a $400 million ABL revolver.

Commitments are due at noon ET on Monday, the source added.

Morgan Stanley Senior Funding Inc., Wells Fargo Securities LLC, PNC Capital Markets LLC and Citigroup Global Markets Inc. are leading the deal that will be used to fund the acquisition of Bartlett and Co. and pay related fees and expenses.

Closing is expected in August.

Savage is a Salt Lake City-based supply chain provider. Bartlett is a Kansas City, Mo.-based grain and milling firm.

GPS Hospitality revised

GPS Hospitality increased pricing on its $340 million seven-year first-lien term loan (B3/B-) to Libor plus 500 bps from Libor plus 475 bps, adjusted the original issue discount to 99 from 99.5 and extended the 101 soft call protection to one year from six months, a market source said.

The term loan still has a 0% Libor floor.

Also, the company downsized its revolver to $55 million from $65 million.

Recommitments were due at 5 p.m. ET on Thursday, the source added.

UBS Investment Bank is the left lead on the now $395 million of credit facilities that will be used to refinance existing debt.

GPS Hospitality is an Atlanta-based Burger King and Popeyes Louisiana Kitchen franchisee.

Aveanna sets changes

Aveanna Healthcare lifted pricing on its $171 million incremental first-lien term loan B and $50 million first-lien delayed-draw term loan B to Libor plus 550 bps from Libor plus 525 bps, revised the original issue discount on the debt to 96 from 98, and extended the 101 soft call protection that will apply to the incremental and the existing first-lien term loan to one year from six months, according to a market source.

The term loan debt still has a 1% Libor floor, delayed-draw term loan availability is still 12 months and there is still a ticking fee on the delayed-draw loan of half the margin from days zero to 30 and the full margin thereafter. The funded and delayed-draw term loans are offered as pro rata strip.

Commitments are due at noon ET on Friday, the source said.

Barclays and BMO Capital Markets are leading the $221 million in term loans (B2/B-) that will be used to fund the acquisition of Premier Healthcare Services LLC.

Bain Capital is the sponsor.

Aveanna Healthcare is an Atlanta-based pediatric home health care company. Premier Healthcare is a Pasadena, Calif.-based provider of pediatric services.

BBB floats new terms

BBB Industries flexed up pricing on its $620 million seven-year covenant-light first-lien term loan (B3/B-) to Libor plus 450 bps from Libor plus 400 bps and modified the original issue discount to 99 from 99.5, according to a market source.

Also, pricing on the company’s $180 million eight-year covenant-light second-lien term loan (Caa2/CCC) was changed to Libor plus 850 bps from Libor plus 825 bps, the source said.

As before, the first-lien term loan has a 0% Libor floor and 101 soft call protection for six months, and the second-lien term loan has a 0% Libor floor, a discount of 99 and call protection of 102 in year one and 101 in year two.

The company’s $900 million of credit facilities also include a $100 million ABL revolver.

UBS Investment Bank is leading the deal that will be used to help fund the buyout of the company by Genstar Capital.

BBB is a Daphne, Ala.-based remanufacturer of automotive products.

PHI reworks loans

PHI raised its three-year term loan B to $600 million from $300 million, increased pricing to Libor plus 750 bps from Libor plus 700 bps, widened the original issue discount to 98.5 from 99, and changed the call protection a non-call for one year, then at 102 in year two and 101 in year three from 103 in year one, 102 in year two and 101 in year three, a market source remarked.

Books closed at the close of business on Thursday, the source added.

UBS Investment Bank is leading the deal that will be used to fund the redemption of the company’s $500 million 5¼% senior unsecured notes due March 2019, pay down and retire an existing revolving credit facility and for general corporate purposes.

PHI is a Lafayette, La.-based provider of helicopter aviation services to the oil and gas sector, and aviation and clinical services to air medical markets.

Yak Mat modified

Yak Mat raised its first-lien term loan B due 2025 to $680 million from $650 million, increased pricing to Libor plus 500 bps from talk in the range of Libor plus 375 bps to 400 bps, widened the original issue discount to 97 from 99 and extended the 101 soft call protection to one year from six months, according to a market source.

Meanwhile, the second-lien term loan due 2026 was trimmed to $180 million from $200 million, pricing was raised to Libor plus 1,000 bps from talk in the range of Libor plus 775 bps to 800 bps, the discount was changed to 93 from 98.5, and the call protection was revised to non-callable for one year, then at 104 in year two and 102 in year three from 102 in year one and 101 in year two, the source said.

Both term loans still have a 0% Libor floor.

Commitments are due at noon ET on Friday, the source added.

J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Citigroup Global Markets Inc. and Nomura are leading the deal, with JPMorgan left on the first-lien loan and Bank of America left on the second-lien loan.

Proceeds will be used to help fund Platinum Equity’s acquisition of a 50.1% stake in the company.

Yak Mat is an East Columbia, Miss.-based specialty equipment leasing and logistics company.

Metro-Goldwyn retranches

Metro-Goldwyn-Mayer cut its second-lien term loan to $400 million from $500 million and set the original issue discount at 99, the wide end of the 99 to 99.5 talk, a market source said.

Pricing on the second-lien term loan is still Libor plus 450 bps with a 1% Libor floor, and the debt still has call protection of 102 in year one and 101 in year two.

Also, company firmed pricing on its $400 million seven-year first-lien term loan at Libor plus 250 bps, the high end of the Libor plus 225 bps to 250 bps talk, the source continued.

The first-lien term loan still has a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Furthermore, the revolver was upsized to $1.7 billion from $1.6 billion, the source added.

J.P. Morgan Securities LLC is the left lead on the deal that will be used to refinance existing bank debt and for general corporate purposes.

Metro-Goldwyn-Mayer is a Beverly Hills, Calif.-based media company.

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