TeamHealth moves up deadline; primary market continues to see influx of deals, repricings

By Sara Rosenberg

New York, Jan. 9 – In the primary market on Monday, TeamHealth Holdings Inc. accelerated the commitment deadline on its term loan B in reaction to strong demand from investors.

Also, Avolon, Electro Rent Corp., Penn National Gaming Inc., Columbus McKinnon Corp., Tibco Software Inc., Travelport Finance (Luxembourg) SARL, Dynegy Inc., Asurion LLC, Charter Communications Inc., Genesys and FleetCor Technologies Inc. all released price talk with launch.

In addition, American Bath Group LLC came out with original issue discount guidance on its incremental first-lien term loan.

And, Grifols, Atotech BV, Worldwide Express, Power Products LLC, Leidos, PolyOne Corp., Tribune Media Co., Gemini HDPE LLC, US LBM Holdings LLC, Shoes for Crews and CityCenter Holdings LLC joined the near-term primary calendar.

TeamHealth shutting early

TeamHealth moved up the commitment deadline on its $2.6 billion seven-year covenant-light term loan B to noon ET on Thursday from Jan. 17, according to a market source.

Talk on the term loan B is Libor plus 325 bps to 350 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

The company’s $3 billion senior secured credit facility (B1/B/BB) also includes a $400 million revolver.

J.P. Morgan Securities LLC, Barclays, Bank of America Merrill Lynch and Morgan Stanley Senior Funding Inc. are leading the deal that will be used with $1,015,000,000 of bonds and $2.7 billion of equity to fund the buyout of the company by Blackstone for $43.50 per share in cash, or about $6.1 billion.

Closing is expected this quarter, subject to stockholder approval, regulatory approvals and other customary conditions. The transaction is not subject to financing.

TeamHealth is a Knoxville, Tenn.-based physician services organization.

Avolon terms emerge

Avolon hosted its lenders’ presentation on Monday and, in connection with the event, talk on its $5.5 billion five-year senior secured first-lien term loan B was announced at Libor plus 325 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due on Jan. 19, the source said.

Morgan Stanley Senior Funding Inc., UBS Investment Bank, Barclays, J.P. Morgan Securities LLC, BNP Paribas Securities Corp., Credit Agricole CIB and SunTrust Robinson Humphrey Inc. are leading the deal that will be used with senior notes to fund the acquisition of CIT Group Inc.’s commercial aerospace leasing business for $10 billion.

Closing is expected this quarter, subject to customary conditions and regulatory approvals.

Avolon is an Ireland-based provider of aircraft leasing and lease management services.

Electro Rent price talk

Electro Rent disclosed talk in the Libor plus 475 bps area with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on its $475 million seven-year covenant-light first-lien term loan (B3/B) that launched with a morning meeting, a market source said.

Commitments are due at noon ET on Jan. 20, the source added.

The company’s $635 million credit facility also includes an $85 million revolver (B3/B) and a privately placed $75 million second-lien term loan (Caa2/B-).

Deutsche Bank Securities Inc., Barclays, BMO Capital Markets and Goldman Sachs Bank USA are leading the deal that will be used to help fund the acquisition of Microlease from Lloyds Development Capital.

Closing is expected this quarter.

Platinum Equity is the sponsor.

Electro Rent is a Van Nuys, Calif.-based provider of specialty testing and measurement equipment services. Microlease is a London-based equipment services and distribution provider to the test and measurement industry.

Penn National guidance

Penn National Gaming held its bank meeting, launching its $500 million seven-year term loan B with talk of Libor plus 275 bps to 300 bps with a 0.75% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a source remarked.

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

The company also plans on getting a $700 million five-year revolver and a $300 million five-year term loan A as part of its proposed $1.5 billion senior secured credit facility (Ba2/BB).

Bank of America Merrill Lynch and J.P. Morgan Securities LLC are leading the deal that will be used to help refinance existing credit facilities, to fund related transaction fees and expenses and for general corporate purposes.

Penn National is a Wyomissing, Pa.-based owner and manager of gaming and racing facilities and video gaming terminal operations.

Columbus McKinnon talk

Columbus McKinnon released talk of Libor plus 325 bps to 350 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year on its $445 million seven-year covenant-light first-lien term loan B that launched with a bank meeting in the morning, according to a market source.

The company’s $520 million credit facility (Ba3/B+) also includes a $75 million five-year revolver.

J.P. Morgan Securities LLC is leading the deal that will be used with cash on hand and stock proceeds to fund the acquisition of Stahl CraneSystems from Konecranes plc for €224 million with an earn-out potential of up to €230 million if certain earnings goals are met for calendar year 2016, and to refinance existing bank debt.

Pro forma net debt to adjusted EBITDA is 3.6 times.

Closing is expected on or about Jan. 31 as all conditions to the acquisition have already been met.

Columbus McKinnon is a Getzville, N.Y.-based designer, manufacturer and marketer of material handling products, technologies and services. Stahl is a Germany-based manufacturer of explosion-protected hoists and crane components.

Tibco details proposal

Tibco Software held its call to launch the repricing of its $1,641,000,000 term loan B, and talk was announced at Libor plus 450 bps to 475 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Signature pages from existing lenders are due on Friday and new money commitments are due on Jan. 17, the source added.

Jefferies Finance LLC and KKR Capital Markets are leading the deal that will reprice the term loan B from Libor plus 550 bps with a 1% Libor floor.

Tibco is a Palo Alto, Calif.-based infrastructure and business intelligence software company.

Travelport holds call

Travelport emerged in the morning with plans to hold a lender call at noon ET on Monday to launch a repricing of its $2,278,000,000 term loan B (B2/B+) due September 2021 talked at Libor plus 325 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

The repricing will take the term loan down from Libor plus 400 bps with a 1% Libor floor.

Cashless roll commitments are due at the end of the day on Wednesday and new money commitments are due at noon ET on Friday, the source said.

Deutsche Bank Securities Inc. is leading the deal.

Travelport is an Atlanta-based provider of transaction processing services to the travel industry.

Dynegy seeks term C

Dynegy held a lender call at 2 p.m. ET to launch a $2,224,000,000 senior secured covenant-light term loan C talked at Libor plus 325 bps with a 1% Libor floor and 101 soft call protection for six months, according to a market source.

Proceeds will be used to reprice the company’s existing $2 billion term loan C from Libor plus 400 bps with a 1% Libor floor and $224 million is an upsizing that will refinance an existing term loan B due 2020.

The repricing is offered at par and the upsized amount is talked with an original issue discount of 99.5, the source said.

Consents/commitments are due at 5 p.m. ET on Thursday.

Morgan Stanley Senior Funding Inc., Deutsche Bank Securities Inc., Barclays, Credit Agricole Corporate and Investment Bank, MUFG, RBC Capital Markets, Credit Suisse Securities (USA) LLC, UBS Securities LLC and BNP Paribas Securities Corp. are leading the deal for the Houston-based energy company.

Asurion repricing B-4

Asurion held a lender call at 3 p.m. ET to launch a repricing of its $2.65 billion term loan B-4 (B+) due August 2022 that is talked at Libor plus 325 bps to 350 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Bank of America Merrill Lynch is leading the deal that will reprice the existing term loan down from Libor plus 400 bps with a 1% Libor floor.

Asurion is a Nashville-based provider of technology protection services.

Charter launches

Charter Communications approached lenders with a repricing of its $1,448,000,000 term loan E due 2020 and $1,158,000,000 term loan F due 2021 that is talked at Libor plus 200 bps with no Libor floor and an original issue discount of 99.875 to par, a market source remarked.

The repricing will take the term loans down from Libor plus 225 bps with a 0.75% Libor floor.

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

Bank of America Merrill Lynch is left lead on the deal.

Charter is a Stamford, Conn.-based broadband communications company and cable operator.

Genesys refinancing

Genesys held a lender call at 4 p.m. ET to launch a $1,575,000,000 term loan B due 2023 talked at Libor plus 400 bps to 425 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Bank of America Merrill Lynch is leading the deal.

The new loan will be used to refinance an existing $1,558,000,000 term loan B that closed late last year at pricing of Libor plus 525 bps with a 1% Libor floor, and includes 101 soft call protection for one year.

Genesys is a Daly City, Calif.-based provider of omnichannel customer experience and contact center solutions.

FleetCor discloses guidance

FleetCor Technologies came out with talk of Libor plus 225 bps to 250 bps with no Libor floor, a par issue price and 101 soft call protection for six months on its $246 million term loan B repricing that launched with a call during the session, a source said.

Commitments are due at 5 p.m. ET on Jan. 17, the source added.

Bank of America Merrill Lynch is leading the deal that will reprice the term loan from Libor plus 300 bps with a 0.75% Libor floor.

FleetCor is a Norcross, Ga.-based provider of specialized payment products and services, including fleet cards, food cards and corporate lodging discount cards for businesses.

American Bath floats OID

American Bath released original issue discount talk of 99 on its fungible $225 million incremental first-lien term loan due Sept. 30, 2023 shortly before its afternoon lender call kicked off, according to a market source.

Pricing on the incremental first-lien term loan is Libor plus 575 bps with a 1% Libor floor, in line with existing first-lien term loan pricing, and the debt has 101 soft call protection through Sept. 30, 2017.

Commitments are due at 5 p.m. ET on Jan. 17.

The company is also getting a $15 million incremental revolver, and a $65 million incremental second-lien term loan that was privately placed.

Credit Suisse Securities (USA) LLC, RBC Capital Markets and Jefferies Finance LLC are leading the deal that will be used with new equity to fund the acquisition of Maax Bath & Spas.

American Bath Group is a Savannah, Tenn.-based designer and manufacturer of bathtubs and showers. Maax is a Lachine, Quebec-based manufacturer of bathtubs, showers and shower doors.

Grifols readies meeting

In more primary happenings, Grifols scheduled a bank meeting for 10 a.m. ET on Wednesday to launch a $3 billion eight-year term loan B, according to a market source.

The company’s $6.3 billion credit facility includes a $300 million six-year revolver and a $3 billion six-year term loan A, the source said.

Nomura, Bank of America Merrill Lynch, Goldman Sachs Bank USA and HSBC Securities (USA) Inc. are leading the deal, with Nomura left on the term loan B and Bank of America left on the revolver and term loan A.

The new credit facility will be used with cash on the balance sheet to fund the $1.85 billion acquisition of the Nucleic Acid Testing donor screening unit from Hologic and to refinance existing debt.

Closing is expected this quarter, subject to customary conditions and regulatory approvals.

Grifols is a Sant Cugat del Valles, Barcelona-based health care company.

Atotech joins calendar

Atotech set a bank meeting for Thursday to launch a $1.65 billion credit facility that is split between a $250 million revolver and a $1.4 billion senior secured term loan B, a market source remarked.

Barclays, J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, HSBC Securities (USA) Inc., Nomura, RBC Capital Markets and Bank of China are leading the deal.

Proceeds will be used with equity to fund the buyout of the company by The Carlyle Group from Total for $3.2 billion.

Closing on the buyout is subject to approval by the relevant antitrust authorities.

Atotech is a manufacturer of specialty plating chemicals and equipment.

Worldwide deal emerges

Worldwide Express will hold a bank meeting in New York on Jan. 17 to launch a $545 million credit facility, a market source said.

The facility consists of a $60 million revolver, a $360 million first-lien term loan and a $125 million second-lien term loan, the source said.

Antares Capital, Deutsche Bank Securities Inc. and Citizens Bank are leading the deal, with Antares left lead on the first-lien debt and Deutsche left lead on the second-lien loan.

Proceeds will be used to help fund the buyout of the company by Ridgemont Equity Partners from Quad-C Management and combination with Unishippers Global Logistics, an existing portfolio company of Ridgemont.

Dallas-based Worldwide Express and Salt Lake City-based Unishippers are non-asset based third-party logistics providers.

Power Products coming soon

Power Products scheduled a bank meeting in New York for 1:30 p.m. ET on Jan. 17 to launch a $300 million senior secured credit facility (B), according to a market source.

The facility consists of a $30 million revolver and a $270 million first-lien term loan, the source said.

RBC Capital Markets is leading the deal that will be used to help fund the buyout of the company by Genstar Capital.

Power Products is a Menomonee Falls, Wis.-based manufacturer and supplier of electrical products for construction and maintenance, recreational marine and specialty vehicles, industrial power, and transportation.

Leidos sets call

Leidos will hold a lender call at 10 a.m. ET on Tuesday to launch a repricing of its roughly $1.13 billion term loan from Libor plus 275 bps with no Libor floor, a market source said.

Citigroup Global Markets Inc. is leading the transaction.

Leidos is a Reston, Va.-based provider of technology and sector expertise to customers in national security, health and engineering.

PolyOne also repricing

PolyOne joined the abundance of proposed repricing transactions, setting a lender call for 1:45 p.m. ET on Tuesday to launch a repricing of its roughly $645 million term loan from Libor plus 275 bps with a 0.75% Libor floor, according to a market source.

Citigroup Global Markets Inc. is leading the deal.

PolyOne is an Avon Lake, Ohio-based provider of specialized polymer materials, services and solutions.

Tribune plans extension

Tribune Media will hold a lender call on Tuesday to launch a $1,749,000,000 seven-year term loan B (BB+) that will be used to extend a portion of $2,349,000,000 term loan B due in 2022, a market source remarked.

The company said in an 8-K filed with the Securities and Exchange Commission that it also plans to extend and possibly upsize its existing $300 million revolver.

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

Price talk on the extended term loan is not yet available, the source remarked, adding that current pricing on the term loan B due 2022 is Libor plus 300 bps with a 0.75% Libor floor.

Tribune Media is a Chicago-based owner of television and digital properties.

Gemini schedules launch

Gemini HDPE surfaced with plans to hold a lender call at 10 a.m. ET on Tuesday to launch a repricing of its existing $411 million term loan B due Aug. 7, 2021 from Libor plus 375 bps with a 1% Libor floor, according to a market source.

Barclays is leading the deal.

Gemini HDPE is a bimodal, high-density polyethylene plant in Texas.

US LBM readies loan

US LBM set a lender call for 11 a.m. ET on Tuesday to launch a fungible $80 million incremental first-lien term loan (B3/B+) due Aug. 20, 2022 talked at Libor plus 525 bps with a 1% Libor floor, an original issue discount that is still to be determined and 101 soft call protection for six months, a market source said.

The spread and floor on the incremental term loan matches the existing first-lien term loan.

Commitments are due on Jan. 18, the source added.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to fund the acquisition of Ridout Lumber Co., a Searcy, Ark.-based lumber company chain.

US LBM is a Green Bay, Wis.-based owner of building material distribution businesses.

Shoes for Crews on deck

Shoes for Crews scheduled a lender call for Wednesday afternoon to launch a fungible $25 million add-on first-lien term loan, according to a market source.

Antares Capital is leading the deal that will be used to fund the acquisition of the SureGrip Footwear subsidiary of Genesco.

Shoes for Crews is a West Palm Beach, Fla.-based supplier of slip-resistant footwear for the workplace. SureGrip is a marketer of occupational, slip-resistant footwear.

CityCenter plans call

CityCenter scheduled a loan lender call for 11 a.m. ET on Tuesday, a market source remarked.

Bank of America Merrill Lynch is the left lead on the deal.

CityCenter is the owner and operator of a mixed-use development located on the Las Vegas Strip.

BWIC’s announced

Moving to the secondary market, a $216 million loan Bid Wanted In Competition surfaced, with bids due at 10:30 a.m. ET on Tuesday, and a $202 million BWIC emerged, with bids due at 11 a.m. ET on Tuesday, according to traders.

Some of the names in the $216 million BWIC are 99 Cents Only Stores, Bass Pro, Berry Plastics, Calpine Construction, CHS/Community Health, Dell International, Energy Transfer Equity, First Data, General Nutrition Center, Iasis Healthcare LLC, Neiman Marcus Group Ltd., Scientific Games, Sedgwick, Valeant and Walter Investment Management. There are about 77 issuers in the portfolio.

The $202 million BWIC includes such names as Amwins Group LLC, Brand Energy and Infrastructure, Chrysler Group, Delta Air Lines Inc., Emdeon Inc., Iasis Healthcare LLC, Mediacom LLC, NXP Funding LLC, Select Medical Corp., Sports Authority Inc. and Valeant Pharmaceuticals. This BWIC has about 49 issuers, traders added.

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