Liqui-Box, MRO break; WaterBridge, Corel, Multi-Color, Avantor, Tortoise, Ventia set talk

By Sara Rosenberg

New York, June 3 – Liqui-Box’s credit facilities freed up for trading on Monday, with the term loan B quoted above its original issue discount, and MRO Holdings Inc.’s term loan B began trading as well.

Moving to the primary market, WaterBridge Operating LLC, Corel Corp., Multi-Color Corp., Avantor, Tortoise Borrower LLC and Ventia Finco Pty Ltd. announced price talk with launch.

Also, Nuvei Technologies Corp., PL Developments LLC, Confluent Health LLC, Compuware Corp. and Unifrax (ASP Unifrax Holdings Inc.) joined this week’s primary calendar.

Liqui-Box starts trading

Liqui-Box’s credit facilities emerged in the secondary market on Monday, with the $530 million seven-year term loan B quoted at 99¼ bid, 99¾ offered, according to a market source.

Pricing on the term loan B is Libor plus 450 basis points with a 1% Libor floor, and it was sold at an original issue discount of 99. The debt has 101 soft call protection for six months.

The company’s $605 million of senior secured credit facilities (B2/B) also include a $75 million five-year revolver.

Antares Capital is leading the deal that will be used to refinance existing debt and support the acquisition of DS Smith’s plastics division.

Liqui-Box, an Olympus Partners portfolio company, is a Richmond, Va.-based provider of liquid packaging solutions to a variety of blue-chip customers across the beverage, dairy and foodservice end markets. DS Smith Plastics is a provider of Bag-in-Box and dispensing solutions, fitments and returnable rigid plastic packaging.

MRO hits secondary

MRO Holdings’ $360 million senior secured term loan B (B2/BB-) freed up too, with levels quoted at 99 5/8 bid, par 1/8 offered, a trader said.

Pricing on the term loan B is Libor plus 500 bps with a 0% Libor floor, and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

During syndication, the spread on the term loan firmed at the high end of the Libor plus 475 bps to 500 bps talk.

RBC Capital Markets and Credit Suisse Securities (USA) LLC are leading the deal that will be used to refinance existing debt and fund a distribution to shareholders.

Caoba Capital is the sponsor.

MRO Holdings is a provider of maintenance, repair and overhaul services to the airline and freight carrier industries.

WaterBridge price guidance

Switching to the primary market, WaterBridge released talk of Libor plus 550 bps with a 0% Libor floor, an original issue discount of 98.5 to 99 and 101 soft call protection for one year on its $1 billion seven-year term loan B (B1/B/BB) that launched with a bank meeting on Monday, according to a market source.

The company’s $1.15 billion of credit facilities also include a $150 million five-year revolver (BB-).

Commitments are due at noon ET on June 13, the source said.

Barclays, Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, ING, RBC Capital Markets, SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC are leading the debt that will be used to repay an existing revolver and term loan A, to fund the acquisition of water infrastructure assets from PDC Energy for $125 million and to prefund capital expenditures.

Closing is expected in mid-2019.

Five Point Energy is the sponsor.

WaterBridge is a Houston-based midstream company that owns and operates extensive permanent water infrastructure systems strategically located in the Delaware and Arkoma basins.

Corel sets talk

Corel held its bank meeting in the morning and announced price talk on its $550 million seven-year covenant-lite first-lien term loan (B2/B-) at Libor plus 500 bps with a 0% Libor floor and an original issue discount of 99, a market source remarked.

Commitments are due at 5 p.m. ET on June 18, the source added.

The company’s $745 million of senior secured credit facilities also include a $60 million revolver (B2/B-) and a $135 million privately placed second-lien term loan.

Citigroup Global Markets Inc., KKR Capital Markets and Barclays are leading the deal that will be used to help fund the buyout of the company by KKR from Vector Capital.

Closing is expected in early July.

Corel is an Ottawa-based software company.

Multi-Color launches

Multi-Color launched at its bank meeting its $600 million seven-year term loan and $600 million equivalent euro seven-year term loan at talk of Libor/Euribor plus 425 bps to 450 bps with a 0% floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due on June 13, the source said.

Along with the term loan debt, the company is expected to get a $300 million revolver.

Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Barclays, BMO Capital Markets, Credit Suisse Securities (USA) LLC, Houlihan Lokey and Morgan Stanley Senior Funding Inc. are leading the deal (B2/B) that will be used to help fund the buyout of the company by Platinum Equity LLC for $50.00 in cash per share and merger with WS Packaging Group, a portfolio company of Platinum Equity. The transaction is valued at $2.5 billion, including the assumption of $1.5 billion of debt.

The company also has a commitment for a $650 million senior secured bridge loan, a $740 million senior unsecured bridge loan and up to $500 million of equity for the transaction.

Closing is expected by the third quarter, subject to shareholder and regulatory approval.

Multi-Color is a Cincinnati-based label maker. WS Packaging is a Green Bay, Wis.-based provider of labels and packaging solutions.

Avantor guidance

Avantor came out with price talk on its $810 million term loan B (Ba2/B+/BB+) due November 2024 and €418 million term loan B (Ba2/B+/BB+) due November 2024 in connection with its morning lender call, a market source said.

The U.S. term loan is talked at Libor plus 300 bps to 325 bps with a 1% Libor floor and the euro term loan is talked at Euribor plus 325 bps to 350 bps with a 0% floor, the source continued. Both loans are talked with a par issue price and 101 soft call protection for six months.

Commitments are due on Friday, the source added.

Goldman Sachs Bank USA is leading the deal that will be used to reprice an existing U.S. term loan down from Libor plus 375 bps with a 1% Libor floor and an existing euro term loan down from Euribor plus 375 bps with a 0% floor.

Avantor is a Radnor, Pa.-based provider of integrated, tailored solutions for the life sciences and advanced technology industries.

Tortoise proposed terms

Tortoise Borrower held its call in the morning and launched its fungible $40 million add-on covenant-lite term loan B due Jan. 31, 2025 at talk of Libor plus 350 bps with a 1% Libor floor, an original issue discount of 99, 101 soft call protection for six months, and a ticking fee of half the margin from days 31 to 60 and the full margin thereafter, a market source remarked.

Commitments are due at noon ET on Friday, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to fund the acquisition of the midstream energy asset management business of Advisory Research Inc., a subsidiary of Piper Jaffray Cos.

Closing is expected in the second half of the year, subject to regulatory approval and customary conditions, including fund board/shareholder approval.

The pro forma term loan B size will be about $340 million.

Tortoise is a Leawood, Kan.-based provider of investment solutions and market insights.

Ventia holds call

Ventia hosted a lender call at 6 p.m. ET on Monday to launch a roughly A$100 equivalent U.S. dollar and Australian dollar incremental senior secured term loan B due May 2026 and an extension of its existing A$363 senior secured term loan B and about $359 million senior secured term loan B, according to a market source.

The U.S. term loan debt is talked at Libor plus 350 bps with a 1% Libor floor and the Australian term loan debt is talked at BBSY plus 462.5 bps, the source continued. All of the debt has 101 soft call protection for six months.

Original issue discount talk on the U.S. incremental loan is 99.5 and the Australian incremental loan is talked with a discount of 99.

Barclays is the left lead on the deal.

The incremental term loan will be used for general corporate purposes including, without limitation, for permitted acquisitions and capital expenditures, and the extension will push out the maturities on the existing term loans by four years to May 2026.

Lenders are offered a 50 bps amendment on the existing term loan B debt.

Ventia is an Australian-based infrastructure services company.

Nuvei coming soon

Nuvei Technologies Corp. emerged with plans to hold a lender meeting in the afternoon on June 10 to launch $894 million of credit facilities, a market source said.

The facilities consist of a $50 million revolver, a $619 million first-lien term loan and a $225 million second-lien term loan, the source added.

BMO Capital Markets is leading the deal that will be used to fund the acquisition of SafeCharge International Group Ltd. for $5.55 per ordinary share, or about $889 million.

Nuvei is a Montreal-based payment technology company. SafeCharge is a Guernsey-based provider of omni-channel payments services.

PL timing surfaces

PL Developments scheduled a bank meeting for 2:30 p.m. ET on Wednesday to launch its previously announced $310 million six-year senior secured first-lien term loan B, according to a market source.

The term loan is talked at Libor plus 700 bps with a 0% Libor floor, an original issue discount of 98 and call protection of non-callable for one year, then at 102 in year two and 101 in year three, the source said.

The company’s $350 million of credit facilities also include a $40 million ABL revolver.

Jefferies LLC is leading the deal that will be used to refinance existing debt, and to fund the acquisition of Teva Pharmaceutical Industries’ nicotine replacement therapy business and a basket of OTC and Abbreviated New Drug Application products.

PL Developments is a Westbury, N.Y.-based manufacturer, packager and distributor of over-the-counter pharmaceutical products and consumer health care goods.

Confluent readies deal

Confluent Health set a bank meeting for 10 a.m. ET in New York on Wednesday to launch a $200 million seven-year covenant-lite first-lien term loan that is talked with a 0% Libor floor and 101 soft call protection for six months, according to a market source.

Deutsche Bank Securities Inc., Macquarie Capital (USA) Inc. and Bank of Ireland are leading the deal.

The new loan will be used to help support a significant equity investment in the company by Partners Group on behalf of its clients alongside management. The Edgewater Funds will divest its holding in the company as part of the transaction.

Confluent Health is a Louisville, Ky.-based outpatient physical therapy provider.

Compuware on deck

Compuware will hold a lender call at 10:30 a.m. ET on Tuesday to launch a $230 million incremental first-lien term loan, a market source remarked.

Jefferies LLC is leading the deal that will be used to fund a dividend.

Compuware is a Detroit-based technology performance company.

Unifrax joins calendar

Unifrax scheduled a lender call for 4 p.m. ET on Tuesday to launch a $120 million incremental term loan B, according to a market source.

Morgan Stanley Senior Funding Inc. and Stifel, Nicolaus & Co. are leading the deal that will be used to fund an acquisition.

Unifrax is a Tonawanda, N.Y.-based supplier of high-performance specialty fibers and inorganic materials used in emission control, thermal management, filtration, battery and fire protection applications.

Packers Sanitation allocates

In other news, Packers Sanitation Services Inc. allocated its fungible $120 million incremental first-lien term loan (B2/B-/B+) due Dec. 4, 2024, a market source said.

Pricing on the incremental term loan is Libor plus 325 bps with a 1% Libor floor, in line with existing first-lien term loan pricing, and the new debt was sold at an original issue discount of 98.79.

Jefferies LLC, Nomura and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to fund a distribution to shareholders.

Packers Sanitation is a Kieler, Wis.-based provider of mission critical cleaning, sanitation and compliance services to the food processing industry.

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