Orient-Express Hotels lowers spreads on U.S. and euro term loans

By Sara Rosenberg

New York, March 19 - Orient-Express Hotels Interfin Ltd. reduced pricing on its $345 million seven-year covenant-light term loan to Libor plus 300 basis points from Libor plus 350 bps and on its €150 million seven-year covenant-light term loan to Euribor plus 325 bps from Euribor plus 375 bps, according to a market source.

Also, the 101 soft call protection on the term loans was extended to one year from six months, the source said.

As before, both term loans have a 1% floor and an original issue discount of 991/2.

The company's credit facility (B3/BB) includes a $105 million five-year multi-currency revolver as well.

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

Barclays and J.P. Morgan Securities LLC are the joint bookrunners on the deal.

Proceeds will be used to refinance the company's existing capital structure.

Senior secured and total leverage are 5.5 times and net leverage is 4.2 times.

Orient-Express is an operator of luxury hotels, restaurants, trains, cruises and safaris.

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