Sedgwick prices $3.5 billion term loan at SOFR plus 375 bps at 99, allocating Friday

By Paul A. Harris

Portland, Ore., Feb. 16 – Sedgwick Claims Management Services Inc. priced its $3.5 billion five-year term loan B (B2/B) with a 375 basis points spread to SOFR at 99, according to a market source.

The deal, which was priced without a floor, came at the tight end of the SOFR plus 375 bps to 400 bps talk and at the rich end of the 98.5 to 99 price talk.

The loan is set to allocate on Friday morning.

The loan has 101 soft call protection for six months.

BofA Securities Inc. is the left lead arranger on the deal.

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

Proceeds will be used to amend and extend an existing term loan B-2 and an existing term loan B-3 into a singular amended and extended term loan B.

Sedgwick is a Memphis, Tenn.-based provider of claims management solutions to corporations, public entities, and insurance carriers.

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