AmWINS, Astoria Energy, Liberty Cablevision, CRGT break; Oasis Outsourcing, GCI tweak deals

By Sara Rosenberg

New York, Dec. 18 – AmWINS Group Inc. finalized the spread on its second-lien term loan at the high side of talk, widened the original issue discount and then freed up for trading on Thursday, and Astoria Energy LLC, Liberty Cablevision of Puerto Rico LLC and CRGT Inc. hit the secondary as well.

In other happenings, Oasis Outsourcing firmed pricing on its first-lien term loan at the tight end of talk and sweetened the call protection and set pricing on its second-lien term loan at the high end of guidance, and General Communication Inc. (GCI) raised the spread on its term loan B and accelerated the commitment deadline.

AmWINS revised

AmWINS Group firmed pricing on its $250 million second-lien covenant-light term loan (CCC+) due Sept. 6, 2020 at Libor plus 850 basis points, the wide end of the Libor plus 825 bps to 850 bps talk, and moved the original issue discount to 97½ from 98½, according to a market source.

The second-lien term loan still has a 1% Libor floor and call protection of 103 in year one, 102 in year two and 101 in year three.

Meanwhile, the company’s $90 million first-lien covenant-light tack-on delayed-draw term loan (B) due Sept. 6, 2019 was unchanged at Libor plus 425 bps with a 1% Libor floor, an original issue discount of 99, and 101 soft call protection for one year.

In connection with the tack-on loan, pricing on the company’s existing $876 million first-lien term loan is being lifted Libor plus 425 bps with a 1% Libor floor from current pricing of Libor plus 375 bps with a 1.25% Libor floor.

AmWINS starts trading

Once terms were finalized, AmWINS’s term loans emerged in the secondary market on Thursday with the first-lien debt quoted at 99¼ bid, par ¼ offered and the second-lien debt quoted at 97½ bid, 98½ offered, a trader remarked.

Credit Suisse Securities (USA) LLC, Barclays and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to fund two acquisitions and pay a dividend.

AmWINS is a Charlotte, N.C.-based specialty insurance broker.

Astoria Energy tops OID

Another deal to begin trading was Astoria Energy, with its $700 million seven-year term loan B quoted at 98¼ bid, 98¾ offered, according to a trader.

Pricing on the term loan is Libor plus 400 bps with a 1% Libor floor and it was sold at an original issue discount of 98. The debt has 101 soft call protection for one year.

During syndication, the term loan was downsized from $775 million, the spread was increased from talk of Libor plus 350 bps to 375 bps and the discount widened from 99.

The company’s $770 million senior secured credit facility also includes a $70 million five-year revolver.

Morgan Stanley Senior Funding Inc. and Natixis Securities Americas LLC are leading the deal that will be used to repay existing debt and make a one-time distribution to the sponsors.

Astoria Energy is an owner of operating electric power generation facilities in New York.

Liberty Cablevision breaks

Liberty Cablevision of Puerto Rico’s bank debt freed up as well, with the $225 million tack-on first-lien term loan due Jan. 7, 2022 quoted at 97 bid, 97½ offered and the $32.5 million tack-on second-lien term loan due July 7, 2023 quoted at par bid, 101 offered, according to a trader.

The tack-on first-lien term loan is priced at Libor plus 350 bps with a 1% Libor floor, in line with the existing first-lien term loan, and was issued at an original issue discount of 97, after being revised the other day from talk of 98½ to 99. There is 101 soft call protection for six months.

Pricing on the tack-on second-lien term loan is Libor plus 675 bps with a 1% Libor floor, in line with the existing second-lien term loan, and it was issued at par, after firming the other day at the tight end of the 99½ to par talk. The debt has hard call protection of 102 through July 2015 and 101 for a year thereafter.

The tack-on loans have a ticking fee of the full spread after 30 days.

Liberty Cablevision leads

Credit Suisse Securities (USA) LLC and Scotia Bank are leading Liberty Cablevision’s term loans with Scotia the administrative agent.

Proceeds from the $257.5 million of tack-on term loans will be used to fund the acquisition of Choice Cable TV, a cable and broadband services provider in Puerto Rico, by Liberty Global plc and Searchlight Capital Partners LP and combination with Liberty Cablevision of Puerto Rico. The combined business will be 60%-owned by Liberty Global and 40%-owned by Searchlight.

The acquisition values Choice at an enterprise value, before transaction costs, of about $272.5 million.

Closing is expected in the first half of 2015, subject to customary conditions, including regulatory approvals.

Liberty Cablevision of Puerto Rico is a cable TV service provider in Puerto Rico.

CRGT frees up

CRGT’s credit facility also broke for trading, with the $100 million six-year first-lien term loan seen at 98 bid, 99 offered, a trader said.

Pricing on the term loan is Libor plus 650 bps with a 1% Libor floor and it was sold at an original issue discount of 98. There is 101 soft call protection for one year and amortization of 2.5% in year one, 5% in years two and three, and 7.5% in years four, five and six.

The company’s $115 million credit facility (B2/B) also provides for a $15 million revolver.

Credit Suisse Securities (USA) LLC is leading the deal that will help fund the buyout of the company by Bridge Growth Partners LLC from Veritas Capital, although Veritas will continue to hold a minority stake in CRGT.

As part of the transaction, GoldPoint Partners provided mezzanine financing and an equity co-investment.

CRGT, a Reston, Va.-based provider of custom software development and data analytics to federal government agencies, expects the buyout to close by year-end.

Oasis updates terms

Back in the primary, Oasis Outsourcing set the spread on its $160 million seven-year first-lien term loan (B1/B) at Libor plus 475 bps, the low end of the Libor plus 475 bps to 500 bps talk, and extended the 101 soft call protection to one year from six months, according to a market source, who said the 1% Libor floor and original issue discount of 99 were unchanged.

In addition, pricing on the $60 million eight-year second-lien term loan (Caa1/CCC+) firmed at Libor plus 875 bps, the wide end of the Libor plus 850 bps to 875 bps talk, while the 1% Libor floor, discount of 98½ and hard call protection of 102 in year one and 101 in year two were left intact, the source continued.

The company’s $270 million credit facility also includes a $50 million five-year revolver (B1/B).

RBC Capital Markets LLC and SunTrust Robinson Humphrey Inc. are leading the deal that will help fund the buyout of the outsourced human resource services company by Stone Point Capital and management from Nautic Partners and Altaris Capital Partners.

Closing is expected by year-end, subject to customary conditions.

GCI modifies pricing

General Communication widened pricing on its $275 million seven-year covenant-light term loan B (Ba2/BB+) to Libor plus 375 bps from talk of Libor plus 325 bps to 350 bps, and kept the 1% Libor floor, original issue discount of 99 and 101 soft call protection for six months intact, according to a market source.

With the pricing increase, the commitment deadline was moved up to noon ET on Friday from 5 p.m. ET on Friday, the source said.

Allocations are targeted for Monday.

SunTrust Robinson Humphrey Inc., Bank of America Merrill Lynch and Credit Agricole are leading the deal.

GCI funding acquisition

Proceeds from General Communication’s term loan B will be used to help finance the purchase of Alaska Communications’ wireless subscriber base and its 33% interest in its partnership in the Alaska Wireless Network LLC for $300 million.

Alaska Wireless Network was formed in July 2013 and combined the wireless network assets of Alaska Communications and General Communication. Under terms of the agreement, General Communication retained two-thirds ownership and Alaska Communications retained one-third ownership.

Closing is expected in the first quarter of 2015, subject to certain conditions.

Pro forma for the acquisition, senior leverage is 1.9 times and total leverage is 4.2 times.

General Communication is an Anchorage-based telecommunications provider.

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