United, NN, B&G Foods, Gray break; AlixPartners, TeleGuam, American Teleconferencing revised

By Sara Rosenberg

New York, March 27 – United Airlines Inc.’s term loan B surfaced in the secondary market on Monday, with levels seen above its issue price, and deals from NN Inc., B&G Foods Inc. and Gray Television Inc. freed up for trading as well.

Moving to the primary market, AlixPartners LLP increased the size of its term loan B, set the spread at the low end of guidance and tightened the original issue discount, and GTA TeleGuam raised pricing on all tranches under its credit facility and widened the issue price on its first-lien term loan.

Also, American Teleconferencing Services Ltd. (Premiere Global Services) downsized its first- and second-lien add-on term loans and modified issue price talk and call protection on the first-lien tranche, and Sterigenics-Nordion Holdings LLC added a repricing proposal to its incremental loan transaction.

Furthermore, Albea Beauty Holdings SA, Platform Specialty Products Corp. (MacDermid Inc.), Utility One Source (UOS LLC), Clarivate Analytics (Camelot Finance LP) and Patheon (Delta Dutch Newco BV) released price talk with launch.

In addition, Playa Resorts Holding BV, USI Insurance Services, Cotiviti Holdings Inc., iPayment Inc., ProAmpac, Cedar Fair LP and Conduent Inc. joined this week’s primary calendar.

United frees up

United Airlines’ $1.5 billion seven-year term loan B began trading on Monday, with levels quoted at par 1/8 bid, par 5/8 offered, according to a trader.

Pricing on the term loan is Libor plus 225 basis points with a 0% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

Last week, pricing on the term loan finalized at the high end of the Libor plus 200 bps to 225 bps talk, and the issue price was tightened from 99.75.

The company’s $3.5 billion credit facility (Baa3/BB+) also include a $2 billion five-year revolver.

Barclays and J.P. Morgan Securities LLC are leading the deal that will be used to refinance the company’s revolvers due 2018 and 2019, term loan B due 2019 and term loan B-1 due 2021 and for general corporate purposes.

Closing is expected on Wednesday.

United Airlines is a Chicago-based airline operator.

NN hits secondary

NN’s $300 million four-year incremental term loan (B2/B+) broke for trading too, with the debt seen at par bid, a market source remarked.

Pricing on the loan is Libor plus 375 bps with a 0% Libor floor, and it was sold at an original issue discount of 99.5.

SunTrust Robinson Humphrey Inc. is leading the deal that will be used to refinance notes.

NN is a Johnson City, Tenn.-based manufacturer and supplier of high precision metal bearing components, industrial plastic and rubber products and precision metal components.

B&G starts trading

B&G Foods’ $640,109,890 term loan B (Ba3/BB+) due Nov. 2, 2022 freed up as well, with levels quoted at par ¼ bid, 101 offered, a trader said.

The term loan is priced at Libor plus 225 bps with a 0% Libor floor and was issued at par. Included in the loan is 101 soft call protection for six months.

Barclays is leading the deal that will be used to reprice an existing term loan B due 2022 from Libor plus 300 bps with a 0.75% Libor floor.

Closing is expected late this week.

B&G Foods is a Parsippany, N.J.-based manufacturer, seller and distributor of shelf-stable and frozen foods.

Gray Television tops par

Another deal to break was Gray Television’s fungible $85 million add-on senior term loan, with levels quoted at par ½ bid, 101 offered, according to a market source.

Pricing on the add-on term loan is Libor plus 250 bps with no floor, and it was issued at par, the source said.

Wells Fargo Securities LLC is leading the deal that will be used to fund the acquisition of two television stations from Diversified Communications and for other general corporate purposes.

Closing on the acquisition is expected in the second quarter.

Gray Television is an Atlanta-based television broadcast company.

nThrive levels surface

nThrive Inc.’s $562,436,842 term loan B (B2/B) due Oct. 20, 2022 was quoted at par ½ bid, 101 offered on Monday, after allocating on Friday, a trader said.

Pricing on the term loan is Libor plus 450 bps with a 1% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan firmed at the high end of the Libor plus 425 bps to 450 bps talk.

Barclays and J.P. Morgan Securities LLC are leading the deal that will be used to reprice an existing term loan B due 2022 from Libor plus 550 bps with a 1% Libor floor.

Closing is expected on April 21.

nThrive (formerly Precyse Acquisition Corp.) is a patient to payment provider of revenue cycle management technology and services.

AlixPartners revises loan

Switching to the primary market, AlixPartners raised its seven-year covenant-light term loan B (B2/B+) to $1.38 billion from $1.37 billion, firmed pricing at Libor plus 300 bps, the low end of the Libor plus 300 bps to 325 bps talk, and moved the original issue discount to 99.75 from 99.5, according to a market source.

As before, the term loan has a 1% Libor floor and 101 soft call protection for six months.

Recommitments were due at 3 p.m. ET on Monday, the source said.

Deutsche Bank Securities Inc., Bank of America Merrill Lynch, Goldman Sachs Bank USA and Jefferies Finance LLC are leading the deal that will be used to refinance an existing term loan and fund a distribution to shareholders, the amount of which was increased due to the term loan upsizing.

AlixPartners is a New York-based performance improvement, corporate turnaround and financial advisory services firm.

TeleGuam reworked

GTA TeleGuam lifted pricing on its $15 million five-year revolver (B1/BB-) and $130 million six-year first-lien term loan (B1/BB-) to Libor plus 500 bps from talk of Libor plus 450 bps to 475 bps and widened the original issue discount on the first-lien term loan to 98.5 from 99, a market source said.

Additionally, pricing on the company’s $25 million seven-year second-lien term loan (Caa1/B-) was increased to Libor plus 850 bps from talk of Libor plus 800 bps to 825 bps, the source continued.

The revolver still has no Libor floor and a 100 bps upfront fee, the first-lien term loan still has a 1% Libor floor and 101 soft call protection for six months, and the second-lien term loan still has a 1% Libor floor, a discount of 98 and call protection of 102 in year one and 101 in year two.

BNP Paribas Securities Corp. is leading the $170 million credit facility that will be used to help fund the buyout of the company by Huntsman Family Investments from Advantage Partners.

Closing is subject to federal and Guam regulatory approvals.

TeleGuam is a Tamuning, Guam-based provider of telecommunications services.

American Teleconferencing tweaked

American Teleconferencing Services reduced its add-on first-lien term loan due December 2021 to $115 million from $140 million, changed the original issue discount talk to a range of 98 to 99 from just 98, and extended the 101 soft call protection to one year from six months, a market source remarked.

Additionally, the total leverage covenant was changed to 5.5 times through March 31, 2018, stepping down 0.25 times annually for three years, from a 6.25 times opening level.

Pricing on the add-on first-lien term loan is Libor plus 650 bps with a 1% Libor floor, in line with existing first-lien term loan pricing.

Commitments for the first-lien loan are due at noon ET on Tuesday, with allocations expected thereafter.

Regarding the add-on second-lien term loan due June 2022, it was downsized to $50 million from $70 million, the source continued.

The add-on second-lien term loan is priced at Libor plus 950 bps with a 1% Libor floor, in line existing second-lien pricing, and is being issued at an original issue discount of 98.

American Teleconferencing leads

Deutsche Bank Securities Inc., Barclays, Macquarie Capital (USA) Inc. and SunTrust Robinson Humphrey Inc. are the bookrunners on American Teleconferencing’s first-lien loan, with Barclays the administrative agent. Eaglehill is the lead arranger on the second-lien loan, with Wilmington Trust the administrative agent.

Proceeds will be used to repay an outstanding revolver draw and seller note and to fund a dividend to shareholders, which was scaled back to $100 million from $145 million with the downsizings to the term loans, the source added.

American Teleconferencing is an Atlanta-based provider of audio conferencing, web and video collaboration solutions for businesses.

Sterigenics seeks repricing

As a result of Sterigenics’ successful syndication last week of a $120 million incremental term loan due March 15, 2022 at pricing of Libor plus 300 bps with a 1% Libor floor and an original issue discount of 99.75, the company decided to launch on Monday a repricing of its existing term loan to Libor plus 300 bps with a 1% Libor floor from Libor plus 325 bps with a 1% Libor floor, a market source said.

The repricing is offered at par, and all of the term loan debt is getting 101 soft call protection for six months, the source continued.

In connection with the decision to reprice, the company’s incremental loan will now be fungible with the existing term loan.

The incremental term loan will be used to refinance senior secured notes.

Jefferies Finance LLC is leading the deal.

Consents for the repricing amendment are due on Wednesday, the source added.

Sterigenics is a Deerfield, Ill.-based provider of contract sterilization, gamma technologies and medical isotopes.

Albea discloses talk

Also on the new deal front, Albea Beauty held its bank meeting in London on Monday, and with the event price talk on its $408 million seven-year covenant-light term loan B and a $408 million euro-equivalent seven-year covenant-light term loan B was announced, according to a market source. A bank meeting for U.S. investors will take place at 10 a.m. ET in New York on Tuesday.

Talk on the U.S. term loan is Libor plus 375 bps to 400 bps with a 1% Libor floor and an original issue discount of 99.5, and talk on the euro term loan is Euribor plus 400 bps with a 0% floor and a discount of 99.5, with both loans having 101 soft call protection for six months, the source said.

Commitments are due on April 10.

Albea getting revolver

Along with the term loans, Albea’s $921 million-equivalent senior secured credit facility (B2/B) includes a $105 million six-year revolver.

Goldman Sachs International and BNP Paribas are the joint global coordinators on the deal and mandated lead arrangers and joint bookrunners with Credit Agricole CIB and HSBC Bank.

Proceeds will be used to refinance U.S. dollar 8¾% bonds due 2019 and euro 8 3/8% bonds due 2019, to fund a dividend, redemption or return of capital to shareholders, to repay certain other existing debt and for transaction expenses.

Closing is expected by the end of April.

Albea is a France-based packaging company for the make-up, fragrance, skincare, personal and oral care markets.

Platform reveals guidance

Platform Specialty Products came out with talk on its $1,317,000,000 term loan B-6 due 2023 and €575 million term loan C-5 due 2023 with its morning lender call, a market source remarked.

The term loan B-6 is talked at Libor plus 300 bps to 325 bps with a 1% Libor floor and a par issue price, and the term loan C-5 is talked at Euribor plus 275 bps to 300 bps with a 0.75% floor and a par issue price, the source added.

Included in the term loans is 101 soft call protection for six months.

Commitments are due on Thursday.

Credit Suisse Securities (USA) LLC is leading the term loan B-6 and HSBC is leading the term loan C-5.

Proceeds will be used to refinance an existing $1,471,000,000 term loan B-4 and an existing €432 million term loan C-3.

Platform is a West Palm Beach, Fla.-based producer of high-technology specialty chemicals and a provider of technical services.

Utility One terms

Utility One Source had its lenders’ presentation in the afternoon, launching its $450 million six-year covenant-light first-lien term loan B at talk of Libor plus 625 bps with a 1% Libor floor, an original issue discount of 98.5 and call protection of non-callable for one year, then at 102 in year two, according to a market source.

The company’s $550 million senior secured credit facility also includes a $100 million revolver.

Commitments are due on April 7, the source said.

Morgan Stanley Senior Funding Inc., Citigroup Global Markets Inc. and RBC Capital Markets are leading the deal that will be used to refinance existing debt and pay related fees and expenses.

Utility One is a Kansas City, Mo.-based provider of equipment and service solutions to the utility and infrastructure sectors.

Clarivate holds call

Clarivate Analytics surfaced in the morning with plans to hold a lender call at 1 p.m. ET to launch a $1,546,000,000 covenant-light first-lien term loan (B2/BB-) due October 2023 talked at Libor plus 300 bps to 325 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on Friday, the source said.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing term loan from Libor plus 375 bps with a 1% Libor floor.

Clarivate, formerly known as Thomson Reuters’ Intellectual Property & Science (IP&S) business, is a Philadelphia-based provider of comprehensive intellectual property and scientific information, decision support tools and services.

Patheon launches

Patheon emerged early with plans to hold a lender call at 1 p.m. ET to launch a $1,136,000,000 covenant-light term loan (B2/B) due April 2024 and a €465 million covenant-light term loan (B2/B) due April 2024, a market source said.

The U.S. term loan is talked at Libor plus 275 bps, and the euro term loan is talked at Euribor plus 300 bps. Both are talked with a 1% floor, an original issue discount of 99.75 and 101 soft call protection for six months, the source continued.

Commitments are due at noon ET on Friday.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing U.S. term loan from Libor plus 325 bps with a 1% Libor floor and an existing euro term loan from Euribor plus 350 bps with a 1% floor, and extend their maturities from 2021.

Patheon is a Durham, N.C.-based provider of outsourced pharmaceutical development and manufacturing services.

Playa on deck

In more primary news, Playa Resorts scheduled a bank meeting in New York for 10 a.m. ET on Wednesday to launch a $530 million seven-year covenant-light term loan B, according to a market source.

Deutsche Bank Securities Inc., Bank of America Merrill Lynch, Citigroup Global Markets Inc. and Nomura are leading the deal that will be used to refinance an existing term loan and to pay down a portion of the company’s existing senior notes.

Playa Hotels is a Fairfax, Va.-based owner, operator and developer of all-inclusive resorts.

USI sets meeting

USI Insurance Services will hold a bank meeting at 11 a.m. ET on Wednesday to launch a $1,795,000,000 seven-year term loan B, a market source remarked.

Bank of America Merrill Lynch, KKR Capital Markets, Citigroup Global Markets Inc. and Macquarie Capital (USA) Inc. are leading the deal that will be used to help fund the buyout of the company by KKR and Caisse de dépôt et placement du Québec from Onex Corp. in a transaction that values the company at $4.3 billion.

Closing is expected by the end of the second quarter, subject to customary conditions including regulatory approvals.

USI is a Valhalla, N.Y.-based insurance brokerage and consulting firm.

Cotiviti plans refinancing

Cotiviti set a lender call for Tuesday to launch a $548.6 million term loan B due September 2023 talked at Libor plus 225 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

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

Cotiviti is an Atlanta-based payment accuracy provider.

iPayment readies loan

iPayment will hold a lender call at 2 p.m. ET on Tuesday to launch a $305 million term loan B talked at Libor plus 625 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.

J.P. Morgan Securities LLC is leading the deal.

Proceeds will be used to refinance existing debt.

iPayment is a New York-based provider of credit and debit card payment processing services to small merchants.

ProAmpac coming soon

ProAmpac set a lender call for Tuesday afternoon to launch an add-on term loan, a market source remarked.

Antares Capital and RBC Capital Markets are leading the deal that will be used to fund a proposed acquisition.

ProAmpac is a Cincinnati-based flexible packaging company.

Cedar Fair deal emerges

Cedar Fair scheduled a lender call for Tuesday to launch a $650 million term loan B (Ba1/BBB-) talked at Libor plus 225 bps with a 0% Libor floor, an original issue discount of 99.75 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 existing debt.

Cedar Fair is a Sandusky, Ohio-based regional amusement-resort operator.

Conduent joins calendar

Conduent will hold a lender call at 10 a.m. ET on Tuesday to launch a new loan transaction to current and prospective lenders, a market source said.

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.

Restaurant Brands closes

Restaurant Brands International Inc. completed its acquisition of Popeyes Louisiana Kitchen Inc. for $79.00 per share in cash, or $1.8 billion, according to a news release.

To help fund the transaction, Restaurant Brands got a new $1.3 billion incremental senior secured covenant-light term loan due Feb. 17, 2024 priced at Libor plus 225 bps with a 1% Libor floor, which is in line with pricing on its existing term loan.

The new term loan was sold at an original issue discount of 99.75, after tightening during syndication from talk of 99.25 to 99.5.

J.P. Morgan Securities LLC and Wells Fargo Securities LLC led the deal.

Restaurant Brands is an Oakville, Ont.-based quick service restaurant company. Popeyes is an Atlanta-based quick service restaurant company.

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