Archroma, Miller Heiman break; Penton Media, Mitchell International revisions surface

By Sara Rosenberg

New York, Sept. 30 - Archroma's credit facility freed up for trading on Monday morning with the bid on the upsized term loan B seen above its original issue discount price, and Miller Heiman broke as well.

Over in the primary, Penton Media Inc. reduced the size of its first-lien term loan and increased the size of its second-lien term loan, and Mitchell International Inc. trimmed the coupons on its first- and second-lien term loans while also tightening the first-lien discount price.

Also, Gentiva Health Services Inc., syncreon, Utility Services Associates Inc. and Harvey Gulf International Marine LLC disclosed talk with launch, and Progressive Solutions (P2 Lower Acquisition LLC), Amneal Pharmaceuticals LLC and Excelitas Technologies Corp. emerged with new deal plans.

Archroma frees up

Archroma's credit facility hit the secondary market on Monday with the $320 million five-year term loan B quoted at 98½ bid, according to a trader.

Pricing on the B loan is Libor plus 825 basis points with a 1.25% Libor floor and it was sold at an original issue discount of 98. The tranche is still non-callable for one year, then at 101 in year two.

During syndication, the term loan B was upsized from $310 million.

The company's $360 million senior secured credit facility also includes a euro equivalent $40 million 41/2-year revolver that was downsized from $50 million.

Jefferies Finance LLC is leading the deal that will be used to help fund SK Capital Partners' acquisition of the textile chemicals, paper specialties and emulsions businesses (to be named Archroma) of Clariant International for about $500 million and the assumption of some pension liabilities.

Miller Heiman starts trading

Miller Heiman's credit facility also freed up, with the $233 million six-year term loan B quoted at 99 bid, 99½ offered, according to a market source.

Pricing on the term loan B is Libor plus 575 bps with a 1% Libor floor and it was sold at an original issue discount of 99. There is 101 soft call protection for one year.

During syndication, pricing was increased from revised talk of Libor plus 525 bps and initial talk of Libor plus 475 bps, the soft call was extended from six months, 2.5% amortization was added and the excess cash flow sweep was increased to 75%.

The $273 million credit facility (B2/B) also includes a $40 million five-year revolver.

GE Capital Markets and BMO Capital Markets are leading the deal that will be used with $65 million of subordinated PIK notes to fund the acquisition of IPI.

Miller Heiman is a Denver-based provider of corporate sales training.

Level 3 steady

In other trading news, Level 3 Financing Inc.'s $1.2 billion term loan B-2 (Ba3/BB-/BB) due Jan. 15, 2020 was being quoted on Monday at 99 7/8 bid, par ¼ offered after trading at that level on Friday after its break, according to a market source.

The term loan is priced at Libor plus 300 bps with a 1% Libor floor and was sold at an original issue discount of 993/4, revised from talk of par. There is 101 soft call protection for six months.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC, Jefferies Finance LLC and J.P. Morgan Securities LLC are the lead banks on the deal.

Proceeds will be used to repay the company's term loan B-2 due in 2019 that is priced at Libor plus 325 bps with a 1.5% Libor floor.

Closing is expected on Oct. 4.

Level 3 is a Broomfield, Colo.-based provider of fiber-based communications services.

Sears trades

Sears Holdings Corp.'s $1 billion senior secured term loan due June 2018 was seen at 99 3/8 bid, 99 7/8 offered, in line with where it was quoted after freeing up at the end of last week, a trader remarked.

Pricing on the loan is Libor plus 450 bps with a 1% Libor floor and it was sold at a discount of 99. There is 101 soft call protection for one year.

During syndication, the spread on the loan firmed at the low end of the Libor plus 450 bps to 475 bps talk.

Bank of America Merrill Lynch is the lead bank on the deal.

Proceeds will be used to pay down borrowings under the company's existing $3,275,000,000 asset-based revolving credit facility.

Sears is a Hoffman Estates, Ill.-based retailer.

Penton retranches

Moving to the primary, Penton Media cut its six-year first-lien term loan (B1/B+) to $460 million from $520 million while keeping pricing at Libor plus 425 bps with a 1.25% Libor floor and an original issue discount of 99, according to a market source. The loan still has 101 soft call protection for one year.

Also, the seven-year second-lien term loan (Caa2/CCC+) was lifted to $205 million from $150 million, the source said. The loan still has pricing of Libor plus 775 bps with a 1.25% Libor floor and a discount of 981/2, and call protection of 103 in year one, 102 in year two and 101 in year three.

The company's now $715 million facility also includes a $50 million five-year revolver (B1/B+).

Recommitments were due at 5 p.m. ET on Monday, the source continued.

Credit Suisse Securities (USA) LLC, GE Capital Markets, Bank of America Merrill Lynch and Macquarie Capital are leading the deal that will be used to refinance existing debt.

Penton is a New York-base tradeshow and professional information services company.

Mitchell flexes lower

Mitchell International cut pricing on its $490 million seven-year covenant-light first-lien term loan (B1/B) to Libor plus 350 bps from talk of Libor plus 375 bps to 400 bps and moved the original issue discount to 99½ from 99, a market source said. This tranche still has a 1% Libor floor and 101 soft call protection for six months.

Meanwhile, pricing on the $245 million eight-year covenant-light second-lien term loan (Caa2/CCC) was revised to Libor plus 750 bps from talk of Libor plus 775 bps to 800 bps, the source remarked. The 1% Libor floor, discount of 99 and call protection of 102 in year one and 101 in year two were left intact.

The company's $785 million credit facility also includes a $50 million five-year revolver.

Recommitments were due at 5:30 p.m. ET on Monday and allocations are targeted for Tuesday, the source added.

Mitchell lead banks

Bank of America Merrill Lynch, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc., Mizuho Securities USA Inc., KKR Capital Markets, RBC Capital Markets LLC and SMBC are leading Mitchell's credit facility, with Bank of America the left lead on the first-lien debt and Goldman the left lead on the second-lien debt.

Proceeds will be used to help fund the company's buyout by KKR from Aurora Capital Group.

Closing is expected in the fourth quarter, subject to customary conditions including regulatory approval.

Mitchell is a San Diego-based provider of technology, connectivity and information services to the property & casualty claims and collision repair industries.

Gentiva talk surfaces

In more primary happenings, Gentiva Health Services held its bank meeting on Monday, and with the event price talk on its term loan B and term loan C was announced, according to sources.

The $655 million six-year term loan B is talked at Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, sources said.

And, the $200 million five-year term loan C is talked in the Libor plus 400 bps area with a 1% Libor floor, a discount of 99½ and 101 soft call protection for six months, the sources continued.

The $955 million senior secured credit facility (B), for which commitments are due on Oct. 9, also includes a $100 million revolver.

Barclays, Bank of America Merrill Lynch, GE Capital Markets, Morgan Stanley Senior Funding Inc. and SunTrust Robinson Humphrey Inc. are leading the deal.

Gentiva buying Harden

Proceeds from Gentiva's credit facility and $116 million in cash will be used to fund the acquisition of Harden Healthcare Holdings Inc. for about $408.8 million, consisting of $355 million in cash and around $53.8 million in Gentiva common stock, and to refinance existing debt.

Pro forma for the acquisition, secured leverage will be 3.4 times, net secured leverage will be 3.2 times, total leverage will be 4.8 times and net total leverage will be 4.5 times.

Closing is expected in mid-October, subject to customary conditions.

Gentiva is an Atlanta-based provider of home health and hospice services. Harden is an Austin, Texas-based provider of home health, hospice and community care services.

syncreon guidance

syncreon came out with talk of Libor plus 400 bps to 425 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on $525 million seven-year covenant-light term loan B that launched during the session, according to a market source.

The company's $625 million senior secured credit facility (B) also includes a $100 million five-year revolver.

Commitments are due on Oct. 10, the source said.

Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA and UBS Securities LLC are leading the deal that will be used to help fund Centerbridge Partners LP's acquisition of a 40% minority stake in the company. Existing shareholder GenNx360 Capital Partners and existing Enright Family related shareholders will retain significant equity ownership in the company following the transaction.

syncreon is an Auburn Hills, Mich.-based provider of customized supply chain services.

Utility Services launches

Utility Services Associates launched on Monday its $185 million first-lien term loan with talk of Libor plus 475 bps to 500 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The company's $215 million credit facility also includes a $30 million revolver.

Commitments are due on Oct. 11, the source said.

RBC Capital Markets, BNP Paribas Securities Corp. and Macquarie are leading the deal that will be used to help fund the buyout of the company by First Reserve.

Closing is expected by year-end.

Utility Services Associates is a provider of critical outsourced services for power transmission, distribution and substation infrastructure.

Harvey Gulf OIDs

Harvey Gulf released discount talk of 99½ on its $100 million add-on term loan A and 99 to 99½ on its $250 million add-on term loan B that launched in the afternoon, according to a market source.

Pricing on the term loan A is Libor plus 400 bps with a 1% Libor floor and pricing on the term loan B is Libor plus 450 bps with a 1% Libor floor.

Lead bank, Bank of America Merrill Lynch, is asking for commitments by noon ET on Oct. 9, the source said.

Proceeds will be used to fund the acquisition of 45 new-generation offshore vessels from Abdon Callais Offshore LLC.

Harvey Gulf is a New Orleans-based marine transportation company.

Progressive Solutions on deck

Progressive Solutions set a bank meeting for 3 p.m. ET on Wednesday to launch a $700 million credit facility, according to a market source.

The facility consists of a $50 million five-year revolver (B), a $490 million seven-year first-lien covenant-light term loan (B) that has 101 soft call protection for six months, and a $160 million eight-year covenant-light second-lien term loan (CCC+) that has call protection of 102 in year one and 101 in year two, the source said.

Credit Suisse Securities (USA) LLC, Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and MCS Capital Markets are leading the deal.

Proceeds will be used to help fund the merger of Progressive Solutions and PMSI.

Commitments are due at 5 p.m. ET on Oct. 15, the source added.

Progressive Solutions is a pharmacy benefit manager for workers compensation.

Amneal readies deal

Amneal Pharmaceuticals scheduled a Thursday afternoon launch for a $565 million credit facility that consists of a $90 million five-year ABL revolver and a $475 million bifurcated six-year covenant-light term loan B, according to a market source.

GE Capital Markets and RBS are leading the deal.

Proceeds will be used to refinance existing debt and fund a dividend.

Amneal Pharmaceuticals is a Bridgewater, N.J.-based manufacturer of generic pharmaceuticals.

Excelitas coming soon

Excelitas Technologies will hold a bank meeting in the near future, likely next week, to launch a $945 million credit facility, according to a market source.

The facility consists of a $40 million revolver, a $620 million first-lien term loan and a $285 million second-lien term loan, the source said.

UBS Securities LLC is leading the deal that will be used to help fund the acquisition of Qioptiq, a Luxembourg-based designer and manufacturer of high performance photonic products and solutions.

Total leverage of 5.8 times, the source added.

Excelitas is a Waltham, Mass.-based provider of specialty lighting and sensor components, subsystems and integrated products to OEMs for health, environmental and security segments.

Fieldwood closes

In other news, Fieldwood Energy LLC completed its acquisition of Apache Corp.'s Gulf of Mexico shelf business for $3.75 billion, a news release said.

For the transaction, the Houston-based acquirer and developer of conventional oil and gas assets got a new $3,625,000,000 credit facility consisting of a $1.2 billion five-year ABL revolver, a $700 million five-year covenant-light first-lien term loan and a $1,725,000,000 seven-year second-lien term loan.

Pricing on the first-lien term loan is Libor plus 287.5 bps with a 1% Libor floor and it was sold at a discount of 991/2. There is 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 712.5 bps with a 1.25% Libor floor and was sold at 97. This debt is non-callable for one year, then at 103 in year two, 102 in year three and 101 in year four.

During syndication, the first-lien term loan was downsized from $900 million as the revolver was upsized from $1 billion, pricing was flexed from Libor plus 300 bps and the discount was changed from 99, and the second-lien term loan saw pricing increase from talk of Libor plus 600 bps to 625 bps, the discount widen from talk of 98 to 99, and the call protection sweetened from non-callable for one year, then at 102 in year two and 101 in year three.

Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Deutsche Bank Securities Inc., Bank of America Merrill Lynch and Goldman Sachs Bank USA led the deal, with Citi the left lead on the first-lien term loan and JPMorgan the left lead on the second-lien loan.

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