Idera frees up; Golden Nugget, SRS revised; Tropicana, Fluidra, Liberty, Summit set talk

By Sara Rosenberg

New York, Jan. 12 – Idera Inc. firmed the original issue discount on its incremental first-lien term loan at the tight end of guidance and then the debt made its way into the secondary market on Wednesday.

In other news, Golden Nugget LLC (Fertitta Entertainment LLC) increased the size of its first-lien term loan and revised the original issue discount, and SRS Distribution Inc. increased the size of its incremental term loan.

Also, Tropicana (Naked Juice LLC), Fluidra (Zodiac Pool Solutions LLC), Liberty Tire Recycling LLC (LTR Intermediate Holdings Inc.) and Summit Behavioral Healthcare LLC released price talk with launch.

Furthermore, Intelsat Jackson Holdings SA and TaylorMade Golf Co. joined this week’s primary calendar.

Idera updated, breaks

Idera set the original issue discount on its fungible $64 million incremental first-lien term loan (B2/B-) due March 2028 at 99.5, the tight end of the 99.25 to 99.5 talk, a market source remarked.

Pricing on the incremental first-lien term loan is Libor plus 375 bps with a 0.75% Libor floor, in line with the existing term loan.

On Wednesday, the incremental term loan began trading, with levels quoted at 99 7/8 bid, par 1/8 offered, another source added.

Jefferies LLC is leading the deal that will be used to fund an acquisition.

Pro forma for the transaction, the first-lien term loan will total $1,515,800,000.

Idera is a Houston-based provider of database, application development and testing software.

Golden Nugget tweaked

Golden Nugget raised its seven-year first-lien term loan to $3.45 billion from $1.85 billion and adjusted the original issue discount to 99.75 from 99.5, according to a market source.

As before, the term loan is priced at SOFR+CSA plus 400 bps with two leverage-based step-downs and a 0.5% floor, and has CSA of 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate and 101 soft call protection for six months.

The company’s now $3.95 billion of credit facilities (B2/B) also include a $500 million five-year revolver.

Commitments were due at noon ET on Wednesday, accelerated from 3 p.m. ET on Wednesday, the source added.

Jefferies LLC is the left lead on the deal that will be used with $850 million of senior secured notes, downsized from $1.85 billion, and $1.25 billion of senior unsecured notes, downsized from $1.85 billion, to refinance existing debt.

Golden Nugget is a diversified restaurant, hospitality, entertainment and gaming company.

SRS upsizes

SRS Distribution raised its non-fungible incremental term loan due 2028 to $800 million from $700 million, a market source said.

The term loan is priced at SOFR+10 bps CSA plus 350 bps with a 25 bps step-down at 3.6x net first-lien leverage, a 0.5% floor and an original issue discount of 99.5, and has 101 soft call protection for six months.

Previously in syndication, pricing on the term loan was reduced from SOFR plus 375 bps, the step-down was added and the discount finalized at the tight end of the 99 to 99.5 talk.

Commitments continued to be due at 5 p.m. ET on Wednesday, the source added.

BofA Securities Inc. and Barclays are leading the deal that will be used to help fund acquisitions, including the recently completed purchase of AquaCentral, a distributor of pool equipment and supplies, from Tenex Capital Management and, as a result of the upsizing, for general corporate purposes.

SRS Distribution is a McKinney, Tex.-based building materials distributor.

Tropicana guidance

Tropicana held its call on Wednesday afternoon and, shortly before the call began, talk was announced on its $1.9 billion seven-year first-lien term loan (B), of which $150 million is a delayed-draw tranche, and $520 million eight-year second-lien term loan (CCC+), according to a market source.

The first-lien term loan is talked at SOFR+10 bps CSA plus 375 bps with a 0.5% floor and an original issue discount of 99 to 99.5, and the second-lien term loan is talked at SOFR+10 bps CSA plus 650 bps with a 0.5% floor and a discount of 99, the source said.

Ticking fees on the first-lien delayed-draw term loan are half the margin from days 46 to 90 and the full margin thereafter.

The first-lien term loan has 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

Tropicana lead banks

Credit Suisse Securities (USA) LLC, BofA Securities Inc., Rabobank, Barclays, RBC Capital Markets, Citigroup Global Markets Inc., Jefferies LLC and SMBC are leading Tropicana’s debt, with Credit Suisse the left lead on the first-lien and BofA the left lead on the second-lien.

Commitments are due at 5 p.m. ET on Jan. 25.

The loans will be used to help fund the acquisition of a 61% ownership stake by PAI Partners in juice brands, including Tropicana, Naked and Kevita, from PepsiCo Inc.

The sale will result in combined pre-tax cash proceeds of about $3.3 billion and PepsiCo will retain a 39% non-controlling interest in the newly formed joint venture.

Fluidra proposed terms

Fluidra came out with price talk on its €650 million equivalent U.S. seven-year covenant-lite term loan B (Ba2) and €450 million euro seven-year covenant-lite term loan B (Ba2) in connection with its lender call in the morning, a market source remarked.

Talk on the U.S. term loan is SOFR+CSA plus 200 bps to 225 bps with a 0.5% floor and an original issue discount of 99.5, and talk on the euro term loan is Euribor plus 225 bps with a 0% floor and a discount of 99.5, the source said. Both term loans have 101 soft call protection for six months.

CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

Commitments are due at 10 a.m. ET on Jan. 21 for the U.S. loan and at 5 a.m. ET on Jan. 21 for the euro loan, the source added.

Fluidra refinancing

Fluidra will use the new term loans to refinance existing debt, for general corporate purposes and to pay related transaction fees and expenses.

BBVA, Citigroup Global Markets Inc. and HSBC are the joint global coordinators and bookrunners on the deal, with BBVA the sustainability coordinator, Citi the left lead on the U.S. loan and HSBC the left lead on the euro loan. BofA Securities Inc., BNP Paribas Securities Corp., JPMorgan Chase Bank and Santander are joint bookrunners.

Fluidra is a Sabadell, Spain-based provider of pool equipment and wellness solutions.

Liberty OID talk

Liberty Tire Recycling launched on its morning call its fungible $150 million add-on green senior secured covenant-lite term loan B (B3/B) due May 7, 2028 with original issue discount talk of 98.57, according to a market source.

Pricing on the add-on term loan is Libor plus 450 bps with a 1% Libor floor, and the add-on term loan and existing term loan are getting 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on Jan. 20, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to fund the acquisition of Rubberecycle, a Lakewood, N.J.-based manufacturer of rubber products.

Pro forma for the transaction, the term loan B will total $558 million.

Liberty Tire is a Pittsburgh-based provider of tire recycling services.

Summit launches

Summit Behavioral Healthcare released original issue discount talk of 97 on its fungible $150 million incremental first-lien term loan shortly before its afternoon lender call began, a market source said.

Pricing on the incremental term loan is Libor plus 475 bps with a 0.75% Libor floor, in line with existing term loan pricing.

Commitments are due at noon ET on Jan. 21, the source added.

Jefferies LLC is leading the deal that will be used to fund the acquisition of Strategic Behavioral Health.

Pro forma for the transaction, the first-lien term loan will total $609 million.

Summit Behavioral is a Franklin, Tenn.-based behavioral health services provider with a focus on the substance use disorder and acute psychiatric treatment end markets.

Intelsat on deck

Intelsat Jackson set a lender call for 10 a.m. ET on Thursday to launch an up to $3.375 billion DIP-to-exit seven-year term loan (B+), of which $2.875 billion will be syndicated, according to a market source.

The term loan has 101 soft call protection for six months, the source said.

Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA and JPMorgan Chase Bank are leading the deal that will be used with $3 billion of senior secured bonds, which will not be syndicated, to fund the company’s emergence from Chapter 11.

Intelsat is a Luxembourg-based satellite telecommunications company.

TaylorMade joins calendar

TaylorMade will hold a lender call at 3 p.m. ET on Thursday to launch a $1.05 billion seven-year term loan B (B1/B) talked at SOFR+CSA plus 325 bps with a 0.5% floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, a market source remarked.

CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

Commitments are due at 5 p.m. ET on Jan. 26, the source added.

JPMorgan Chase Bank is leading the deal that will be used to refinance existing debt and for general corporate purposes.

TaylorMade is a Carlsbad, Calif.-based sports equipment manufacturing company.

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