RCN Grande updates talk; Cablevision Lightpath sets guidance; calendar continues to build

By Sara Rosenberg

New York, Sept. 9 – RCN Grande (Radiate Holdco LLC) modified spread talk and original issue discount guidance on its well-received term loan B on Wednesday, and Cablevision Lightpath disclosed price talk on its term loan B with launch.

In more happenings, Michaels Cos. Inc., Omnitracs LLC, Allegro Microsystems Inc., Wabash National Corp. and Aveanna Healthcare LLC joined this week’s primary calendar.

RCN Grande tweaked

RCN Grande changed price talk on its $1.19 billion term loan B due September 2026 to a range of Libor plus 350 basis points to 375 bps from Libor plus 400 bps and adjusted original issue discount talk to 98.5 from a range of 98.5 to 99, a market source said.

As before, the term loan has a 0.75% Libor floor.

The commitment deadline on the term loan was moved up to noon ET on Thursday, the source added.

J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC, Barclays, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc., Societe Generale and UBS Investment Bank are leading the deal that will be used with $3.25 billion of bonds to repay existing debt and fund a dividend.

RCN Grande is a broadband services provider.

Lightpath launches

Cablevision Lightpath hosted a lender call at 10 a.m. ET to launch a $600 million seven-year first-lien term loan B (B1/B+) talked at Libor plus 350 bps to 375 bps with a 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The term loan has a ticking fee of half the margin from days 46 to 90 and the full margin thereafter, the source said.

Commitments are due on Sept. 16.

Goldman Sachs Bank USA, RBC Capital Markets, Deutsche Bank Securities Inc. and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to help fund the acquisition of a 49.99% interest in the company by Morgan Stanley Infrastructure Partners from Altice USA for an implied enterprise value of $3.2 billion.

Closing is expected in the fourth quarter, subject to customary regulatory approvals.

Cablevision Lightpath is an enterprise-grade fiber connectivity, bandwidth and managed services provider in the New York metropolitan area.

Michaels plans call

Michaels will hold a lender call at 11 a.m. ET on Thursday to launch a $1.62 billion seven-year term loan B (B+) talked at Libor plus 350 bps with a 0.75% Libor floor, an original issue discount of 98.5 and 101 soft call protection for six months, a market source remarked.

Commitments are due at noon ET on Sept. 17, the source added.

J.P. Morgan Securities LLC, Wells Fargo Securities LLC, BofA Securities, Inc., Truist, Goldman Sachs Bank USA, Barclays, US Bank, BMO Capital Markets, Fifth Third, Credit Suisse Securities (USA) LLC and UBS Investment Bank are leading the deal that will be used to refinance existing debt.

Michaels is an Irving, Tex.-based retailer of arts and crafts supplies and home decor products.

Omnitracs on deck

Omnitracs scheduled a lender call for 10 a.m. ET on Thursday to launch $355 million of term loans, market sources said.

The debt consists of a non-fungible $160 million incremental covenant-lite first-lien term loan due March 2025 and a $195 million eight-year covenant-lite second-lien term loan, sources added.

Barclays, Credit Suisse Securities (USA) LLC, Macquarie Capital (USA) Inc. and Guggenheim are leading the deal, with Barclays the left lead on the first-lien loan and Credit Suisse the left lead on the second-lien loan.

The new loans will be used with cash on hand to fund the acquisition of SmartDrive Systems Inc., a San Diego-based provider of video-based safety and transportation intelligence.

Closing is expected late in the third quarter or in the fourth quarter, subject to customary conditions.

Omnitracs is a Dallas-based provider of SaaS-based fleet management and data analytics solutions.

Allegro readies loan

Allegro Microsystems set a lender call for 10 a.m. ET on Thursday to launch a $325 million seven-year covenant-lite first-lien term loan that is talked with 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on Sept. 24, the source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to refinance a revolver draw and fund a shareholder distribution.

Allegro is a Manchester, N.H.-based provider of magnetic sensor and power integrated circuits.

Wabash joins calendar

Wabash National surfaced with plans to hold a lender call at 11 a.m. ET on Thursday to launch a $150 million seven-year covenant-lite term loan B, a market source remarked.

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

Commitments are due at noon ET on Sept. 17, the source added.

Wells Fargo Securities LLC and J.P. Morgan Securities LLC are leading the deal that will be used to refinance an existing term loan B due 2022 and for general corporate purposes.

Wabash is a Lafayette, Ind.-based manufacturer of commercial trailer products.

Aveanna coming soon

Aveanna Healthcare scheduled a lender call for 1 p.m. ET on Thursday to launch a non-fungible $185 million incremental first-lien term loan due March 16, 2024, according to a market source.

Barclays is the left lead on the deal that will be used for general corporate purposes including tuck-in acquisitions, fees and expenses, and balance sheet cash.

Aveanna Healthcare, a Bain Capital portfolio company, is an Atlanta-based home health care company.

© 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.