Chrysler firm with sales numbers; NFR Energy all-in guidance emerges; DuPont readies deal

By Sara Rosenberg

New York, Jan. 3 - Chrysler Group LLC released strong monthly and full-year sales results on Thursday, and with the announcement, the company's term loan held firm in trading.

Moving to the primary, NFR Energy LLC began circulating some early all-in pricing guidance on its second-lien term loan as timing on the transaction surfaced, and DuPont Performance Coatings revealed details on its upcoming deal.

Chrysler stays strong

Chrysler's term loan remained firm, but unchanged, during Thursday's trading session as the company released December and full-year 2012 sales numbers, according to traders.

One trader had the loan quoted at 102 bid, 103 offered, and a second trader had it at 102 bid, 102½ offered, with both saying the debt was in line with Wednesday's levels.

For the month of December, Chrysler reported U.S. sales of 152,367 units, a 10% increase from 138,019 units in December 2011.

Specifically, total car sales for December were 45,289, versus 34,844 in the prior year, and total truck sales were 107,078, up from 103,175 in December 2011.

For the full year, sales totaled about 1.652 million units, up 21% from around 1.369 million units for 2011.

Total car sales for 2012 were 498,095, versus 354,362 in 2011, and total truck sales were about 1.154 million, up from roughly 1.015 million in the previous year.

Chrysler is an Auburn Hills, Mich.-based automotive company.

NFR floats early talk

Over in the primary, NFR Energy started telling investors that its $500 million senior secured covenant-light second-lien term loan (Caa1/B) due Dec. 31, 2018 is guided on an all-in basis in the 9½% area ahead of the 10:30 a.m. ET Friday bank meeting that will officially launch the deal into syndication, according to a market source.

As previously reported, the loan has call protection of 102 in year one and 101 in year two for any debt refinancing.

Bank of America Merrill Lynch, Citigroup Global Markets Inc. and Natixis are leading the deal that was used, along with equity, to fund the acquisition of TLP Energy LLC for $655 million and certain Eagle Ford Shale assets from two independent oil and gas companies for $81 million.

NFR Energy, a Houston-based independent energy company, is in the process of changing its name to Sabine Oil & Gas LLC.

Dupont timing, structure

Dupont Performance Coatings scheduled a bank meeting in New York for 10:30 a.m. ET on Tuesday and one in London on Wednesday to launch a $2.9 billion senior secured credit facility, according to a market source.

The facility consists of a $400 million five-year revolver, a $2.3 billion seven-year covenant-light U.S. term loan and a $200 million seven-year covenant-light euro equivalent term loan, the source said, adding that price talk is not yet available.

Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc., UBS Securities LLC, Jeffries Finance LLC and SMBC are leading the deal that will be used, along with $1.4 billion in bonds as well as equity, to fund the buyout of the company by the Carlyle Group from DuPont for $4.9 billion.

Net senior secured leverage is about 4 times and net total leverage is roughly 5.6 times.

DuPont Performance Coatings, a Wilmington, Del.-based supplier of vehicle and industrial coating systems, expects its buyout to be completed this quarter, subject to customary conditions and regulatory approvals.

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