Jason readies launch of $383 million of term loans on Tuesday

By Sara Rosenberg

New York, Nov. 9 – Jason Inc. is scheduled to hold a lender call at 11 a.m. ET on Tuesday to launch $383 million of term loans, according to a market source.

Deutsche Bank Securities Inc., Citigroup Global Markets Inc. and HSBC Securities (USA) Inc. are the bookrunners on the deal.

The debt consists of a $293 million covenant-light first-lien term loan due June 2024 and a $90 million covenant-light second-lien term loan due June 2025, the source said.

Price talk on the first-lien term loan is Libor plus 500 basis points with a 0% Libor floor and an original issue discount of 99.5, and talk on the second-lien term loan is Libor plus 900 bps with a 0% Libor floor and a discount of 99, the source continued.

The first-lien term loan has amortization of 1% per annum and 101 soft call protection for one year, and the second-lien term loan has no amortization and call protection of 102 in year one and 101 in year two.

Proceeds will be used to amend and extend by three years existing first- and second-lien term loans. The existing first-lien term loan is priced at Libor plus 450 bps with a 1% Libor floor and the existing second-lien term loan is priced at Libor plus 800 bps with a 1% Libor floor.

Commitments from existing lenders are due at 5 p.m. ET on Nov. 16 and commitments from new lenders are due at noon ET on Nov. 20, the source added.

Jason is a Milwaukee, Wis.-based diversified manufacturer of best in class finishing, components, seating and acoustic products and solutions to industrial, energy, heavy fabrication, off-highway equipment and transportation markets.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.