Gates firms $570.6 million term loan B-4 at SOFR plus 300 bps

By Sara Rosenberg

New York, Sept. 29 – Gates Global set pricing on its $570.6 million senior secured term loan B-4 due November 2029 (Ba3/B+) at SOFR plus 300 basis points, the low end of the SOFR plus 300 bps to 325 bps talk, according to a market source.

The term loan still has a 0.5% floor, a par issue price, 101 soft call protection for six months and amortization of 1% per annum.

Citigroup Global Markets Inc., Goldman Sachs Bank USA and Morgan Stanley Senior Funding Inc. are the joint lead arrangers on the deal. Credit Suisse is the administrative agent.

Proceeds will be used to reprice an existing term loan down from SOFR plus 350 bps with a 0.5% floor.

Closing is expected during the week of Oct. 2.

Gates Global is a Denver-based manufacturer of application-specific fluid power and power transmission solutions.

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