Ardagh, Tower Auto, DAE Aviation, SuperValu, Phillips Pet, HarbourVest, Learfield break

By Sara Rosenberg

New York, Jan. 30 - Ardagh Group, Tower Automotive Holdings USA LLC, DAE Aviation Holdings Inc., SuperValu Inc., Phillips Pet Food & Supplies, HarbourVest Partners LP and Learfield Communications Inc. all emerged in the secondary market on Thursday.

Switching to the primary, Southwire Co. lowered pricing on its term loan, added a leverage-based step-down and revised the original issue discount, Diamond Foods Inc., Sedgwick Inc., iQor US Inc. and Caribbean Restaurants LLC came out with pricing guidance with launch, and Atlantic Power LP and ADS Waste Holdings Inc. surfaced with deal plans.

Ardagh frees up

Ardagh's $700 million covenant-light term loan B (B+) due Dec. 17, 2019 began trading on Thursday, with levels quoted at par bid, 101 offered, according to a trader.

Pricing on the B loan is Libor plus 300 basis points with a 1% Libor floor and it was sold at an original issue discount of 99¾ after tightening earlier this week from 991/2. There is 101 soft call protection for six months and a ticking fee of half the spread from days 31 to 60 and the full spread thereafter.

Citigroup Global Markets Inc. is leading the deal that will be used with $830 million of notes to finance the acquisition of Verallia North America, a glass packaging company.

Ardagh is a Dublin-based supplier of glass and metal packaging.

Tower Auto starts trading

Tower Automotive's $450 million senior secured term loan B due April 23, 2020 also broke, with levels quoted at par 1/8 bid, 101 1/8 offered, according to a trader.

Pricing on the term loan B is Libor plus 300 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, loan was upsized from $417 million and pricing firmed at the low end of the Libor plus 300 bps to 325 bps talk.

Citigroup Global Markets Inc. and J.P. Morgan Securities LLC are leading the deal that will be used to reprice an existing term loan from Libor plus 375 bps with a 1% Libor floor, and, as result of the recent upsizing, for general corporate purposes.

Closing is expected to occur on Friday.

Tower Automotive is a Livonia, Mich.-based supplier of automotive metal structural components and assemblies.

DAE levels emerge

DAE Aviation's term loan freed up, with the roughly $590 million first-lien term loan due Nov. 2, 2018 quoted at par bid, 101 offered, and the $250 million 51/2-year second-lien term loan quoted at 101 bid, 102 offered, according to a trader.

The first-lien term loan is priced at Libor plus 400 bps with a 1% Libor floor and was sold at a discount of 993/4. There is 101 soft call protection for six months.

Pricing on the second-lien term loan is Libor plus 675 bps with a 1% Libor floor and it was sold at 99. This tranche has call protection of 102 in year one and 101 in year two.

Recently, the first-lien term loan was upsized from roughly $540 million, pricing was cut from talk of Libor plus 425 bps to 450 bps and the discount was changed from 991/2. Additionally, the second-lien loan was trimmed from $300 million, the spread was reverse flexed from Libor plus 750 bps, the discount firmed at the tight end of the 98½ to 99 talk, and the hard call protection was revised from 103 in year one, 102 in year two and 101 in year three.

DAE leverage

With this transaction, DAE Aviation's net first-lien leverage is 3.6 times and net total leverage is 4.6 times.

Barclays, Bank of America Merrill Lynch and Goldman Sachs Bank USA are leading the deal.

Proceeds will be used to reprice and existing first-lien term loan from Libor plus 500 bps with a 1.25% Libor floor and refinance 2015 senior notes.

DAE Aviation is an aircraft MRO provider.

SuperValu tops OID

SuperValu's roughly $1.5 billion covenant-light term loan due March 21, 2019 hit the secondary too, with levels seen at par ¼ bid, 101 offered, one trader said. Meanwhile, by late day, a second trader had the loan at par 5/8 bid, 101 1/8 offered.

Pricing on the loan is Libor plus 350 bps with a 1% Libor floor and it was sold at an original issue discount of 99 7/8. There is 101 soft call protection for six months.

Proceeds will be used to reprice an existing term loan from Libor plus 400 bps with a 1% Libor floor.

Goldman Sachs Bank USA is leading the deal for the Eden Prairie, Minn.-based food wholesaler.

Phillips Pet breaks

Phillips Pet Food & Supplies' credit facility was another deal to begin trading, with the $280 million first-lien term loan (B1/B) seen at par 5/8 bid, 101 1/8 offered and the $110 million second-lien term loan (Caa1/CCC+) seen at par ¾ bid, 101¼ offered, according to a trader.

Pricing on the first-lien term loan is Libor plus 350 bps with a 1% Libor floor and it was sold at a discount of 993/4. There is 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 725 bps with a 1% Libor floor and was sold at 991/2. This debt has call protection of 102 in year one and 101 in year two on the second-lien loan.

Phillips Pet funding buyout

Proceeds from Phillips Pet's $450 million credit facility, which also includes a $60 million ABL revolver, will be used to help finance its purchase by Thomas H. Lee Partners from AEA Investors.

Jefferies Finance LLC, Goldman Sachs Bank USA and BMO Capital Markets are leading the deal.

During syndication, the first-lien term loan was upsized from $260 million, pricing was lowered from talk of Libor plus 375 bps to 400 bps, the discount was changed from 99½ and the soft call protection was added. Also, the second-lien loan was downsized from $130 million, the spread was reduced from talk of Libor plus 750 bps to 775 bps and the discount was moved from 99.

Phillips Pet is an Easton, Pa.-based distributor of pet food and supplies.

HarbourVest hits secondary

HarbourVest's $350 million first-lien covenant-light term loan due February 2021 freed up as well, with levels quoted at par 1/8 bid, par 5/8 offered, a trader remarked.

The term loan is priced at Libor plus 250 bps with a 0.75% Libor floor and was issued at par. There is 101 soft call protection for six months.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to refinance/reprice an existing term loan due November 2017 priced at Libor plus 375 bps with a 1% Libor floor and repay subordinated notes.

HarbourVest is a Boston-based private equity firm.

Learfield add-ons trade

Learfield Communications' $85 million of fungible add-on covenant-light term loans broke, with the $65 million add-on first-lien term loan due October 2020 quoted at 101 bid, 101½ offered, and the $20 million add-on second-lien term loan due October 2021 quoted at 102 bid, 103 offered, a trader said.

Pricing on the first-lien add-on is Libor plus 400 bps with a 1% Libor floor and it was issued at a premium of par 1/2. There is 101 soft call protection until April 2014.

The second-lien add-on is priced at Libor plus 775 bps with a 1% Libor floor and was issued at a premium of 102. There is call protection of 102 until October 2014 and 101 until October 2015.

On Wednesday, the first-lien add-on loan was upsized from $60 million and the offer price was changed from par, and the second-lien add-on loan was cut from $25 million while the offer price was tightened from par.

Deutsche Bank Securities Inc. is leading the deal that will be used by the college sports multimedia rights marketing company to help fund the acquisition of Nelligan Sports Marketing Inc.

Southwire reworks pricing

Moving to the primary, Southwire trimmed the spread on its $750 million seven-year covenant-light term loan (Ba3/BB+) to Libor plus 250 bps from talk of Libor plus 275 bps to 300 bps, added a step-down to Libor plus 225 bps when net leverage is less than 2 times, and moved the original issue discount to 99¾ from 991/2, according to a market source.

As before, the term loan has a 0.75% Libor floor and 101 soft call protection for six months.

Recommitments were due at 11:30 a.m. ET on Thursday, the source said.

The company's $1.75 billion senior secured credit facility also includes a $1 billion five-year asset-based revolver.

Southwire buying Coleman

Proceeds from Southwire's credit facility will be used to help fund the acquisition of Coleman Cable Inc. for $26.25 per share in cash in a transaction valued at about $786 million, including the assumption of $294 million in net debt.

Bank of America Merrill Lynch, BMO Capital Markets, Wells Fargo Securities LLC and Macquarie Capital are leading the deal.

Closing is expected this quarter, subject to a majority of Coleman shares being tendered, the expiration or termination of the waiting period under the Hart Scott Rodino Antitrust Improvements Act and other customary conditions.

Southwire is a Carrollton, Ga.-based wire and cable producer. Coleman is a Waukegan, Ill.-based manufacturer of electrical and electronic wire and cable products.

Diamond Foods sets talk

Diamond Foods held its bank meeting on Thursday morning, and shortly before the event kicked off, talk on the $415 million 41/2-year first-lien covenant-light term loan (B2/B-) emerged at Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months, according to a market source.

The San Francisco-based packaged food company's $540 million senior secured credit facility also includes a $125 million asset-based revolver due in 2018.

Commitments are due on Feb. 12.

Credit Suisse Securities (USA) LLC, Wells Fargo Securities LLC, Barclays, BMO Capital Markets and SunTrust Robinson Humphrey Inc. are leading the deal that will be used with $230 million of senior unsecured notes to refinance an existing senior secured credit facility due Feb. 25, 2015 and senior unsecured notes due 2020 held by Oaktree.

Sedgwick discloses guidance

Sedgwick held its bank meeting in the morning, launching its $1.02 billion seven-year first-lien term loan with talk of Libor plus 325 bps with a 1% Libor floor and an original issue discount of 991/2, a market source remarked.

Also, the company's $510 million eight-year second-lien term loan was launched at Libor plus 675 bps with a 1% Libor floor and a discount of 99, the source continued.

The company's $1,655,000,000 credit facility, for which commitments are due on Feb. 13, also includes a $125 million five-year revolver.

Sedgwick lead banks

UBS Securities LLC, Deutsche Bank Securities Inc., KKR Capital Markets, Mizuho and Morgan Stanley Senior Funding Inc. are leading Sedgwick's credit facility, with UBS the left lead on the first-lien loan and Deutsche Bank the left lead on the second-lien loan.

Proceeds, along with equity, will be used to help fund the acquisition of Sedgwick by KKR and management for about $2.4 billion from Hellman & Friedman LLC and Stone Point Capital LLC.

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

Sedgwick is a Memphis, Tenn.-based provider of technology-enabled claims and productivity management services.

iQor pricing details

iQor held its meeting, launching its up to $630 million seven-year covenant-light first-lien term loan (B2/B) with talk of Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, and its $220 million eight-year covenant-light second-lien term loan (Caa2/CCC+) with talk of Libor plus 850 bps to 875 bps with a 1% Libor floor, a discount of 981/2, and hard call protection of 102 in year one and 101 in year two, a source said.

The company's up to $950 million senior secured credit facility also includes a $100 million five-year revolver (B2/B).

Commitments are due on Feb. 13, the source added.

iQor funding acquisition

Proceeds from iQor's credit facility will be used to fund the $725 million purchase of the aftermarket services business of Jabil Circuit Inc., a St. Petersburg, Fla.-based provider of aftermarket services to electronics manufacturers, retailers and service providers.

Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC and GE Capital Markets are leading the deal.

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

iQor is a New York-based provider of business process outsourcing services.

Caribbean Restaurants terms

Caribbean Restaurants revealed talk of Libor plus 775 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year on its $140 million five-year first-lien term loan that launched to investors, according to a market source.

Also, talk on the $50 million 51/2-year second-lien term loan came out at Libor plus 1,100 bps cash plus 6% PIK with a 1% Libor floor and a discount of 98, and the debt is non-callable for three years, then at 106 in year four and 103 in year five, the source said.

The company's $205 million credit facility also includes a $15 million revolver.

Commitments are due on Feb. 6, the source added.

Jefferies Finance LLC is leading the deal that will be used to refinance existing debt.

Caribbean Restaurants is an operator of Burger King restaurants in Puerto Rico.

Chrysler call protection

Chrysler Group LLC's $1.75 billion term loan due December 2018 was launched to investors with 101 soft call protection for six months, according to a market source. As previously reported, the loan is talked at Libor plus 275 bps with a 0.75% Libor floor and an original issue discount of 991/2.

The Auburn Hills, Mich.-based automotive company is also getting a $250 million add-on term loan due May 2017 talked at Libor plus 275 bps with a 0.75% floor and a discount of 993/4. This tranche has the same call protection as the existing loan due May 2017, which is a 101 soft call that expires six months from December 2013.

J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Barclays, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc. and UBS Securities LLC are leading the $2 billion of senior secured term loans (Ba1/BB+) that will be used with $2.7 billion of senior secured notes to repay all of the company's unsecured note issued on June 10, 2009 to the VEBA Trust.

Atlantic Power on deck

Also in the primary, Atlantic Power set a bank meeting for 1:30 p.m. ET on Monday to launch an $800 million senior secured credit facility that consists of a $200 million revolver and a $600 million term loan B, according to a market source.

Goldman Sachs Lending Partners LLC and Bank of America Merrill Lynch are leading the term loan, and Goldman Sachs, Bank of America, RBC Capital Markets and Union Bank are leading the revolver.

Proceeds will be used to refinance an existing $150 million revolver, redeem $190 million of 5.9% senior notes, $150 million of 5.87% senior guaranteed notes series A and $75 million 5.97% senior guaranteed notes series B, provide for ongoing working capital needs and general corporate purposes, support collateral support obligations to contract counterparties, fund a debt service reserve and possibly repurchase 9% senior unsecured notes.

Atlantic Power LP has 1,173 MW of hydro, natural gas and generation capacity and contracts in place for a majority of the capacity with a remaining average life of over seven years. The company is a subsidiary of Atlantic Power Corp., a Boston-based owner and operator of power generation assets.

ADS Waste plans call

ADS Waste scheduled a call for 11 a.m. ET on Friday to launch a $1,782,000,000 covenant-light term loan due October 2019 that is talked at Libor plus 275 bps with a 0.75% Libor floor and 101 soft call protection for six months, according to a market source.

Proceeds will be used to reprice the existing term loan from Libor plus 300 bps with a 1.25% Libor floor.

Deutsche Bank Securities Inc. is leading the deal.

ADS Waste is a Jacksonville, Fla.-based provider of integrated, non-hazardous solid waste collection, transfer, recycling and disposal services.

Ply Gem closes

In other news, Ply Gem Industries Inc. completed its $430 million seven-year first-lien covenant-light term loan (B2/B), according to an 8-K filed with the Securities and Exchange Commission.

Pricing on the loan is Libor plus 300 bps with a 1% Libor floor and it was sold at an original issue discount of 991/2. There is 101 soft call protection for six months.

During syndication, the loan was lifted from $380 million and the spread was cut from Libor plus 350 bps.

Credit Suisse Securities (USA) LLC led the deal that was used to help fund the redemption of $756 million of 8¼% senior secured notes due 2018 and $96 million 9 3/8% senior notes due 2017.

Other funds for the notes buyback came from a $500 million senior unsecured notes offering that was downsized from $550 million with the term loan upsizing.

Ply Gem is a Cary, N.C.-based manufacturer of exterior building products.

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