Las Vegas Sands frees to trade; LifeScan revises deal; primary market continues to be active

By Sara Rosenberg

New York, June 5 – Las Vegas Sands LLC’s incremental term loan B made its way into the secondary market on Tuesday, with levels quoted above its original issue discount.

Meanwhile in the primary market, LifeScan Global Corp. widened spreads and original issue discounts on its first-and second-lien term loans, sweetened call premiums and shortened maturities.

Also, Diamond Resorts International Inc., Celestica Inc., Dayco Products LLC, Minimax, National CineMedia LLC and MHS Holdings Inc. released price talk with launch.

In addition, Nomad Foods Ltd., Harsco Corp., Access CIG LLC, US Foods Inc. and Conduent Business Services LLC hopped onto this week’s primary calendar.

Las Vegas Sands breaks

Las Vegas Sands’ $1.35 billion incremental senior secured term loan B freed up for trading on Tuesday, with levels quoted by one trader at par bid, par ¼ offered and by a second trader at par 1/8 bid, par 3/8 offered.

Pricing on the term loan is Libor plus 175 basis points with a 0% Libor floor and it was sold at an original issue discount of 99.75.

During syndication, the term loan was upsized from $1 billion and the discount finalized at the tight end of the 99.5 to 99.75 talk.

Bank of Nova Scotia, Barclays, Bank of America Merrill Lynch, BNP Paribas Securities Corp., Citigroup Global Markets Inc. and Fifth Third are leading the deal that will be used for general corporate purposes.

Las Vegas Sands is a Las Vegas-based developer and operator of integrated resorts.

LifeScan reworked

LifeScan lifted pricing on its $1.4 billion covenant-light first-lien term loan (B1/B+) to Libor plus 600 bps from Libor plus 450 bps, moved the original issue to 97 from 99.5, extended the 101 soft call protection to one year from six months, shortened the maturity to six years from seven years and increased amortization to 7% per annum from 3.5%, according to a market source.

Additionally, the company raised the spread on its $350 million covenant-light second-lien term loan (Caa1/B) to Libor plus 950 bps from Libor plus 850 bps, widened the discount to 96 from talk in the range of 98.5 to 99, changed the call protection to non-callable for one year, then at 102 in year two and 101 in year three from hard call protection of 103 in year one, 102 in year two and 101 in year three, and shortened the maturity to seven years from eight years, the source said.

As before, both term loans have a 0% Libor floor.

Recommitments are due at 5 p.m. ET on Friday, the source added.

LifeScan lead banks

Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Jefferies LLC, Credit Suisse Securities (USA) LLC, Barclays and RBC Capital Markets are leading LifeScan’s $1.75 billion in term loans.

The new debt will be used to fund the buyout of the company by Platinum Equity from Johnson & Johnson in a transaction valued at about $2.1 billion.

LifeScan is a marketer of blood glucose monitoring products with headquarters in Chesterbrook, Pa., and Zug, Switzerland.

Diamond sets talk

Diamond Resorts held its lender call on Tuesday and announced talk of Libor plus 375 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months on its $890 million term loan B (B1/B+) due Sept. 2, 2023, according to a market source.

Commitments are due at noon ET on June 12, the source said.

RBC Capital Markets, Apollo Global Securities and Barclays are leading the deal that will be used to reprice an existing term loan down from Libor plus 450 bps with a 1% Libor floor.

Apollo Management is the sponsor.

Diamond Resorts is a Las Vegas-based hospitality and vacation ownership company.

Celestica reveals guidance

Celestica disclosed talk of Libor plus 225 bps to 250 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months on its $350 million seven-year covenant-light term loan B (Ba1/BB+) that launched with an afternoon call, a market source remarked.

Commitments are due at 5 p.m. ET on June 14, the source added.

Bank of America Merrill Lynch and Citigroup Global Markets Inc. are leading the deal that will be used to repay the company’s existing credit facilities.

Celestica is a Toronto-based designer and manufacturer of electronic components.

Dayco details emerge

Dayco Products held its call in the morning and launched a $470 million covenant-light term loan B (B2/B) due May 19, 2023 talked at Libor plus 425 bps to 450 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on June 12, the source added.

Bank of America Merrill Lynch is leading the deal that will be used to refinance an existing term loan B.

Dayco is a Troy, Mich.-based manufacturer of highly engineered engine management systems.

Minimax proposed terms

Minimax disclosed price talk on its €502 million equivalent U.S. dollar seven-year covenant-light term loan B and €514 million seven-year covenant-light term loan B with its London bank meeting on Tuesday, according to a market source. A bank meeting for U.S. investors will take place at 10 a.m. ET in New York on Thursday.

Talk on the U.S. term loan is Libor plus 300 bps with a 0.75% Libor floor and an original issue discount of 99.5, and talk on the euro term loan is Euribor plus 325 bps with a 0% floor and a discount of 99.5, the source said.

The company’s €1,206,000,000 equivalent of credit facilities (B1/B+) also include a €40 million six-year revolver and a €150 million six-year guarantee line.

Final commitments are due at the close of business on June 14.

Deutsche Bank is the physical bookrunner on the deal, and Commerzbank and Unicredit are bookrunners.

The credit facilities will be used to refinance existing term loans, with cashless roll available, and to fund a distribution to direct shareholder MV Holding to fund a share buyback.

Minimax is a fire protection company with headquarters in Bad Oldesloe in Schleswig-Holstein, Germany.

National CineMedia launches

National CineMedia held a lender call during the session to launch a $270 million seven-year term loan B (Ba3/B+) talked at Libor plus 300 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance an existing term loan due 2019.

National CineMedia is a Centennial, Colo.-based integrated media company.

MHS floats OID

MHS Holdings came out with original issue discount talk of 99.5 on its fungible $120 million add-on term loan B due May 1, 2024 that launched with an afternoon call, a market source remarked.

The add-on term loan is priced at Libor plus 500 bps with a 1% Libor floor and has 101 soft call protection through Nov. 15, 2018, all of which matches the existing term loan.

Commitments are due at noon ET on June 19, the source added.

RBC Capital Markets is the left lead on the deal that will be used for an acquisition.

Thomas H. Lee Partners LP is the sponsor.

MHS is a Louisville, Ky.-based provider of e-commerce infrastructure.

Nomad readies loan

Nomad Foods set a lender call for 9 a.m. ET on Wednesday to launch a $300 million incremental first-lien term loan due May 2024, according to a market source.

Like the existing loan, the incremental term loan is priced at Libor plus 225 bps with a 0% Libor floor and has 101 soft call protection through June 20, 2018, the source said. Original issue discount talk on the incremental loan is not yet available.

Commitments are due at 5 p.m. ET on June 12, the source added.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Deutsche Bank Securities Inc. and UBS Investment Bank are leading the deal that will be used with cash on hand to fund the acquisition of Aunt Bessie’s Ltd. from William Jackson & Son Ltd. for about €240 million and for general corporate purposes.

Closing on the acquisition is expected in the third quarter, subject to certain closing conditions, including regulatory approvals.

U.K.-based Nomad Foods and U.K-based Aunt Bessie’s are frozen foods companies.

Harsco coming soon

Harsco emerged with plans to hold a lender call at 10 a.m. ET on Thursday to launch a $545 million senior secured term loan, a market source said.

Goldman Sachs Bank USA, Citigroup Global Markets Inc., HSBC Securities (USA) Inc., Bank of America Merrill Lynch, RBC Capital Markets, U.S. Bank and KeyBanc Capital Markets are leading the deal that will be used to reprice an existing term loan.

Along with the repricing, the company plans to increase the amount of its revolving credit commitments by as much as $100 million to $500 million, a news release added.

Harsco is a Camp Hill, Pa.-based diversified industrial company providing a range of onsite services and engineered products to the global steel, energy and railway sectors.

Access CIG sets call

Access CIG will hold a lender call at 11:30 a.m. ET on Wednesday to launch $105 million in incremental term loans, according to a market source.

The debt consists of a fungible $85 million incremental first-lien term loan due February 2025 and a fungible $20 million incremental second-lien term loan due February 2026, the source said.

Like the existing term loans, the incremental first-lien term loan is priced at Libor plus 375 bps with a 0% Libor floor and has 101 soft call protection until August 2018, and the incremental second-lien term loan is priced at Libor plus 775 bps with a 0% Libor floor and has hard call protection of 102 until February 2019 and 101 until February 2020.

Jefferies LLC is leading the deal that will be used to help fund an acquisition, which is expected to close during the week of June 11.

Access CIG is a Livermore, Calif.-based provider of physical and digital records and information management services.

US Foods on deck

US Foods scheduled a call for 11 a.m. ET on Wednesday to launch a new loan deal to existing and prospective lenders, a market source remarked.

Citigroup Global Markets Inc. is leading the transaction.

US Foods is a Chicago-based broadline foodservice distributor.

Conduent joins calendar

Conduent Business Services will hold a lender call at 10 a.m. ET on Wednesday to launch a new loan transaction, according to a market source.

Citigroup Global Markets Inc. is leading the deal.

Conduent is a Florham Park, N.J.-based provider of business process services with expertise in transaction-intensive processing, analytics and automation.

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