Kenan Advantage lifts term loan to $300 million, revises OID to 99

By Sara Rosenberg

New York, May 1 – Kenan Advantage Group Inc. upsized its non-fungible incremental first-lien term loan due 2026 to $300 million from $250 million and tightened the original issue discount to 99 from 98.5, according to a market source.

Pricing on the incremental term loan remained at SOFR+CSA plus 400 basis points with a 0.75% floor.

The CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

The term loan has 101 soft call protection for six months.

KeyBanc Capital Markets LLC, Barclays, Citizens, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., CIBC, Fifth Third, ING, MUFG and Regions Capital are the leads on the deal.

Recommitments were scheduled to be due at 2 p.m. ET on Monday, the source added.

Proceeds will be used with cash on hand to refinance a $300 million second-lien term loan due 2027. The amount of cash being used for the refinancing is being reduced as a result of the incremental term loan upsizing.

Kenan Advantage is a North Canton, Ohio-based provider of liquid bulk transportation services to the fuels, chemicals, liquid foods and merchant gas markets.

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