High Yield Calendar: $1 billion in the market

November 15 Week

RAKUTEN GROUP, INC.: $500 million two-year senior notes (S&P: BB+); Morgan Stanley (sole physical books, bill and deliver), Goldman Sachs, Daiwa, Mizuho, BofA Securities, Citigroup (joint books); Rule 144A for life and Regulation S; for general corporate purposes, including capital investments for mobile business and/or debt repayment; Tokyo-based e-commerce and online retailing services provider; investor call Nov. 15; pricing expected early Nov. 21 week.

In The Market

PEGASUS MERGER CO. (TENNECO INC.): $1 billion six-year senior secured notes; BofA (lead left); three-year call protection; help fund acquisition of Tenneco by Apollo (enterprise value approximately $7.1 billion); Lake Forest, Ill.-based aftermarket auto components supplier; roadshow began on Nov. 1.

On The Horizon

ACURIS FINANCE US, INC. and ACURIS FINANCE SARL, doing business as ION ANALYTICS: $850 million equivalent eight-year senior secured notes (expected ratings B2/B) in tranches of dollar-denominated notes, price talk 6% area (initial talk low-to-mid 6% area), and euro-denominated notes, price talk 4¾% area (initial talk mid-to-high 4% area) tranche sizes to be determined (expected $500 million and $350 million equivalent euro); UBS (left books), BNP Paribas (joint books); Rule 144A and Regulation S for life; notes in both tranches callable after two years at par plus 50% of respective coupons; to refinance debt incurred in the Backstop acquisition, to fund a dividend for repurchase of shares from certain minority shareholders in one or more parent companies, to partially prepay amounts drawn under the credit facility and for general corporate purposes; London-based market analytics and data provider (delayed as of Jan. 28).

MONEYGRAM INTERNATIONAL INC.: $500 million unsecured bridge loan and $800 million senior secured credit facilities, debt commitment from Goldman Sachs, Deutsche Bank and Barclays; proceeds plus $810 million equity to fund the buyout of MoneyGram, a Dallas-based digital P2P payments company, by Madison Dearborn Partners LLC; disclosed in 8-K filed with the SEC on Feb. 16, 2022.

TEGNA INC.: $1.496 billion senior secured bridge loan and $2.715 senior unsecured bridge loan; also $4 billion senior secured credit facilities; debt commitment from RBC, BofA, Goldman Sachs, Truist, BNP, Credit Suisse, Jefferies, Mizuho, TD, Barclays, Deutsche Bank, MUFG, Citizens, SMBC; to help fund its acquisition by Standard General LP, expected to close in second half of 2022; Tysons, Va.-based media company; information disclosed in PREM14A filed on March 25, 2022 with SEC.

TWITTER INC. (X HOLDINGS): $3 billion one-year senior secured bridge loan and $3 billion at SOFR plus 675 bps, 0% floor, 50 bps step-ups every three months up to a specified cap, and $3 billion one-year senior unsecured bridge loan at SOFR plus 1,000 bps, 0% floor, 50 bps step-ups every three months up to a specified cap, expected to be replaced with $3 billion senior secured notes and $3 billion senior unsecured notes; proceeds plus $7 billion credit facilities to help fund acquisition of Twitter by an entity wholly owned by Elon Musk; San Francisco-based online social networking service.

VIASAT INC.: $1.6 billion senior notes (assumed pricing 5½%), also $700 million term loan; debt commitment from BofA, JPMorgan, Barclays, Credit Suisse; proceeds to support the acquisition of Inmarsat, expected to close during second half of 2022; Carlsbad, Calif.-based Viasat and London-based Inmarsat are satellite telecommunications companies.

Bridge Loans

CHART INDUSTRIES INC.: Approximately $3.375 billion 364-day senior bridge loan (long-term financing expected to include term loans, secured notes and unsecured notes); debt commitment from JPMorgan and Morgan Stanley; to help finance $4.4 billion acquisition of Howden from KPS Capital Partners LP, expected to close in first half of 2023; Chart Industries is a Ball Ground, Ga.-based manufacturer of highly engineered equipment servicing energy and industrial gas markets, Howden is a U.K.-based provider of mission critical air and gas handling products and services; disclosed in 8-K document filed Nov. 9 with SEC.

RICHIE BROS. AUCTIONEERS INC.: $2.8 billion senior secured 364-day covenant-lite bridge loan, pricing SOFR plus 300 bps, 50 bps step-up after 90 days, another 50 bps after 180 days and another 50 bps after 270 days, to be replaced with senior secured term loan A, senior secured term loan B and/or senior secured and/or unsecured notes; debt commitment from Goldman Sachs (agent), BofA, RBC; also $750 million backstop senior secured revolver; to fund acquisition of IAA Inc. for approximately $7.3 billion including assumption of $1 billion debt; Ritchie Bros. is a Vancouver, B.C.-based auction company; IAA is a Westchester, Ill.-based digital marketplace connecting vehicle buyers and sellers; disclosed in 8-K filed Nov. 7 with SEC.

SEMTECH CORP.: $1.151 billion 364-day bridge loan to help fund its acquisition of Sierra Wireless Inc., enterprise value approximately $1.2 billion, expected to close in Semtech's fiscal year 2023; commitment from JPMorgan; Semtech is a Camarillo, Calif.-based supplier of semiconductors and advanced algorithms; Sierra Wireless is a British Columbia-based Internet of Things solutions provider; disclosed in 8-K filed with SEC on Aug. 3.

Roadshow

Started Nov. 15: RAKUTEN GROUP $500 million; Morgan Stanley

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