Griffon cuts spread on $800 million term loan B to SOFR plus 275 bps

By Sara Rosenberg

New York, Jan. 19 – Griffon Corp. reduced pricing on its $800 million seven-year covenant-lite term loan B to SOFR+CSA plus 275 basis points from revised talk of SOFR+CSA plus 300 bps to 325 bps and initial talk of SOFR+CSA plus 350 bps, according to market sources.

In addition, the original issue discount talk on the term loan was changed to a range of 99.5 to 99.75 from revised talk in the 99.5 area and initial talk in the range of 99 to 99.5, and then firmed at 99.75, sources said.

The term loan still has a 0.5% floor, 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.

Earlier in syndication, the term loan was upsized from $750 million.

BofA Securities Inc., BNP Paribas Securities Corp., Deutsche Bank Securities Inc. and Wells Fargo Securities LLC are the leads on the deal.

Commitments continued to be due at noon ET on Wednesday, sources added.

Proceeds will be used to help fund the $845 million acquisition of Hunter Fan Co. from MidOcean Partners.

Closing is expected during the week of Jan. 24.

Griffon is a New York-based diversified management and holding company that conducts business through wholly owned subsidiaries. Hunter Fan is a Memphis-based designer and distributor of residential ceiling, commercial and industrial fans.

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