Mirion breaks; Specialty Buildings, Medical Solutions, EyeCare, Wrench Group updates emerge

By Sara Rosenberg

New York, Oct. 5 – Mirion Technologies Inc. trimmed pricing on its first-lien term loan B, revised the original issue discount and extended the call protection, and then the debt made its way into the secondary market on Tuesday.

Also, Specialty Building Products Holdings LLC set the spread and issue price on its first-lien term loan B at the tight side of guidance, and Medical Solutions moved some funds between its first- and second-lien term loans, and tightened spread and original issue discount on the first-lien debt.

In addition, EyeCare Partners LLC added a syndicated second-lien term loan to its capital structure, and Wrench Group LLC revised its transaction to include a repricing of an existing incremental first-lien term loan.

Furthermore, Walker & Dunlop Inc. came to market with a new term loan B, and Primary Products Finance LLC, Tibco Software Inc. (Bali Finco Inc.) and Quirch Foods LLC joined this week’s primary calendar.

Mirion flexes

Mirion Technologies cut pricing on its $830 million seven-year first-lien term loan B (B1/B) to Libor plus 275 basis points from revised talk in the morning of Libor plus 300 bps and initial talk at launch of Libor plus 350 bps, a market source said.

The company also moved the original issue discount on the term loan to 99.5 from 99 and extended the 101 soft call protection to one year from six months, the source continued.

The 0.5% Libor floor on the term loan was unchanged.

Recommitments were due at 12:30 p.m. ET on Tuesday, the source added.

Goldman Sachs Bank USA, Citigroup Global Markets Inc., JPMorgan Chase Bank and Jefferies LLC are leading the deal. Citigroup is the administrative agent.

Mirion hits secondary

Mirion’s term loan freed to trade in the afternoon, with levels quoted at par bid, par 3/8 offered, another source added.

The loan will be used with balance sheet cash, cash held in trust and PIPE proceeds to pay down existing debt, add cash to balance sheet, and fund the business combination of GS Acquisition Holdings Corp. II with the ultimate parent company of Mirion Technologies Inc.

Closing is expected this year, subject to regulatory approvals and approval by GS Acquisition stockholders.

Mirion, currently a Charterhouse Capital Partners LLP portfolio company, is an Atlanta-based provider of mission-critical radiation detection and measurement solutions.

Specialty updated

Specialty Building Products finalized pricing on its $800 million seven-year first-lien term loan B (B2/B-) at Libor plus 375 basis points, the low end of the Libor plus 375 bps to 400 bps talk, and firmed the original issue discount at 99.5, the tight end of the 99 to 99.5 talk, according to a market source.

The term loan still has 25 bps step-downs at 4.5x and 4.25x first-lien net leverage and a step-down upon an initial public offering, a 0.5% Libor floor and 101 soft call protection for six months.

Allocations went out on Tuesday, another source added.

Barclays is leading the deal that will be used to fund the acquisition of Reeb Millwork Corp. and another acquisition that is currently under a letter-of-intent.

Closing on the Reeb transaction is expected before the end of October, subject to customary conditions.

Specialty Building is a Duluth, Ga.-based distributor of branded specialty building products. Reeb is a Bethlehem, Pa.-based fabricator and supplier of interior and exterior doors.

Medical Solutions retranches

Medical Solutions raised its funded first-lien term loan to $1.05 billion from $1 billion and scaled back its privately placed second-lien term loan to $270 million from $320 million, a market source remarked.

In addition, pricing on the funded first-lien term loan and $200 million first-lien delayed-draw term loan was lowered to Libor plus 350 bps from talk in the range of Libor plus 375 bps to 400 bps, a 25 bps step-down at 0.5x inside closing date first lien net leverage was added, subject to a one-year holiday, and the original issue discount was changed to 99.5 from 99, the source continued.

The first-lien term loan debt still has a 0.5% Libor floor and 101 soft call protection for six months.

Recommitments were due at 5 p.m. ET on Tuesday, the source added.

UBS Investment Bank, Jefferies LLC, Goldman Sachs Bank USA, Wells Fargo Securities LLC, MUFG, Citizens Bank, KeyBanc Capital Markets, TD Securities (USA) LLC and SMBC are leading the deal that will help fund the buyout of the company by Centerbridge Partners LP and Caisse de depot et placement du Quebec from TPG Growth.

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

Medical Solutions is an Omaha-based provider of total workforce solutions in the health care industry.

EyeCare reworked

EyeCare Partners added a $340 million eight-year second-lien covenant-lite term loan (Caa2/CCC+) to its transaction that is talked at Libor plus 675 bps with a 0.5% Libor floor, an original issue discount of 99 and call protection of 102 in year one and 101 in year two, according to a market source.

The company is also seeking a $500 million seven-year incremental covenant-lite first-lien term loan (B2/B), which launched with a call on Monday at talk of Libor plus 375 bps to 400 bps with a 0.5% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Of the total first-lien term loan amount, $100 million is a delayed-draw tranche with ticking fees of half the margin from days 46 to 90 and the full margin thereafter.

Commitments are due at 5 p.m. ET on Oct. 14.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used for acquisition financing and, due to the addition of the second-lien term loan, to refinance an existing $150 million second-lien term loan.

EyeCare Partners is a St. Louis-based eye care services provider.

Wrench Group revised

Wrench Group opted to add a repricing of its existing non-fungible $119.4 million incremental first-lien term loan to its transaction, and is talking the repricing at Libor plus 400 bps with a 0% Libor floor and an original issue discount of 99.5, a market source said.

Last week, the company launched a fungible $200 million incremental first-lien term loan due April 30, 2026 priced at Libor plus 400 bps with a 0% Libor floor, in line with an existing term loan, and talked with an original issue discount of 99.25.

The $119.4 million repriced term loan will become fungible with the existing first-lien and the incremental first-lien term loan, creating one first-lien tranche that will be sized at about $688.7 million, and all of the debt will get 101 soft call protection for six months.

The repricing will take the $119.4 million first-lien term loan down from Libor plus 450 bps with a 1% Libor floor.

Wrench buying Morris

Wrench Group will use its new incremental first-lien term loan with a fungible $90 million privately placed incremental second-lien term loan to fund the acquisition of Morris-Jenkins, a provider of air conditioning, heating and plumbing services in Charlotte and the surrounding areas.

Jefferies LLC, Macquarie Capital (USA) Inc. and Antares Capital are leading the debt.

Consents for the repricing are due at noon ET on Thursday and commitments for the incremental first-lien term loan continue to be due at noon ET on Thursday, the source added.

Pro forma for the transaction, the second-lien term loan will total $165 million.

Wrench Group is a provider of home maintenance and repair services specializing in heating, ventilation and air conditioning, plumbing, electrical and water quality services.

Walker holds call

Walker & Dunlop held a lender call at 1 p.m. ET on Tuesday to launch a $600 million term loan B (BBB-) due 2028 talked at SOFR + 10 basis points CSA (Credit Spread Adjustment) plus 250 bps with a 50 bps SOFR+CSA floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, according to market source.

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

JPMorgan Chase Bank is leading the deal that will be used to fund the acquisition of Alliant Capital Ltd. and to refinance an existing term loan B due 2025.

Alliant is being bought for $351 million of cash and assumption of Alliant’s securitized debt facility, which had an outstanding balance of $155 million at July 31, 2021, $90 million of Walker & Dunlop common stock and $100 million of earn-out structured as participating interest in future cash flows over the next four years.

Closing is expected in November.

Walker & Dunlop is a Bethesda, Md.-based commercial real estate and multi-family finance company. Alliant is a Woodland Hills, Calif.-based investment management firm focused on providing tax credit syndication for the development and financing of affordable multifamily rental housing.

Primary Products on deck

Primary Products set a lender call for 11 a.m. ET on Wednesday to launch a $1.06 billion seven-year term loan, according to a market source.

The term loan has 101 soft call protection for six months, the source said.

Barclays, Wells Fargo Securities LLC, Rabobank, BNP Paribas Securities Corp., Goldman Sachs Bank USA, Societe Generale and Stifel are leading the deal that will be used to help fund the acquisition by KPS Capital Partners LP of a controlling stake in Tate & Lyle plc’s Primary Products business in North America and Latin America and its interests in the Almidones Mexicanos SA de CV and DuPont Tate & Lyle Bio-Products Co. LLC joint ventures through a newly formed company for an enterprise value of $1.7 billion.

KPS and Tate & Lyle will each own about 50% of the newly formed company.

Closing is expected in the first quarter of 2022, subject to customary closing conditions and approvals.

Primary Products is a provider of nutritive sweeteners, industrial starches, acidulants and other corn-derived products.

Tibco coming soon

Tibco Software scheduled a lender call for noon ET on Thursday to launch a non-fungible $1.415 billion covenant-lite first-lien term loan due June 2026, a market source remarked.

Nomura, Jefferies LLC, KKR Capital Markets, Macquarie Capital (USA) Inc. and Oak Hill Advisors are leading the deal that will be used to help fund the acquisition of Blue Prism Group plc for £11.25 per share, or £1.1 billion, and to pay fees and expenses.

Tibco, a Vista Equity portfolio company, is a Palo Alto, Calif.-based infrastructure and business intelligence software company. Blue Prism is a U.K.-based provider of intelligent automation for the enterprise.

Quirch readies deal

Quirch Foods scheduled a lender call for 1:30 p.m. ET on Thursday to launch a fungible $100 million add-on term loan B due Oct. 27, 2027 and repricing of its existing $471 million term loan B due Oct. 27, 2027, according to a market source.

RBC Capital Markets is the left lead on the deal.

The add-on term loan will be used to repay borrowings under the company’s ABL facility.

Current pricing on the existing term loan B is Libor plus 475 bps with a 1% Libor floor.

Quirch Foods is a Coral Gables, Fla.-based specialty protein supplier to chain grocery stores.

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