Aricent increases term loan sizes, revises first-lien OID to 99¼

By Sara Rosenberg

New York, April 2 - Aricent Inc. upsized its seven-year first-lien term loan (Ba3/B+) to $490 million from $480 million and its eight-year second-lien term loan (B3/CCC+) to $200 million from $195 million, according to market sources.

Also, the original issue discount on the first-lien term loan was tightened to 99¼ from 99, sources said.

Pricing on the first-lien term loan remained at Libor plus 450 basis points with a 1% Libor floor.

The second-lien term loan is still priced at Libor plus 850 bps with a 1% Libor floor and a discount of 99.

As before, the first-lien term loan has 101 soft call protection for one year, and the second-lien term loan is non-callable for one year, then at 103 in year two, 102 in year three and 101 in year four.

Covenants include a maximum total leverage ratio.

The company's now $765 million credit facility, up from $750 million, also includes a $75 million revolver (Ba3/B+).

Recommitments were due at 2 p.m. ET on Wednesday, sources added.

Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC are the lead banks on the deal, with Citi as left lead on the first-lien loan and Credit Suisse as left lead on the second-lien loan.

Proceeds will be used to refinance existing debt.

Aricent is an R&D services and software 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.