Caesars, H.B. Fuller, EIF Channelview, LA Fitness, LegalShield, Seminole, Golden Nugget break

By Sara Rosenberg

New York, April 13 – Caesars Entertainment Opco (CEOC LLC) set pricing on its term loan at the low side of talk and H.B. Fuller Co. firmed the spread on its term loan B at the high end of guidance, and then both of these deals freed to trade on Friday.

Also, EIF Channelview Cogeneration LLC tightened the spread and original issue discount on its term loan B and the hit the secondary market, and deals from LA Fitness (Fitness International LLC), LegalShield, Seminole Tribe of Florida and Golden Nugget Inc. broke too.

In other news, USI Inc. set the issue price on its incremental term loan B at the tight end of talk, and Frontera Generation Holdings LLC, Mavenir Systems and Aegis Toxicology Sciences Corp. released price talk with launch.

Additionally, Hunterstown Generation (Kestrel Acquisition LLC), KeyW Corp., R1 RCM Inc. and Avast Software emerged with new deal plans.

Caesars updated, trades

Caesars Entertainment finalized the spread on its $1,496,000,000 covenant-light first-lien term loan (Ba3/BB) due Oct. 6, 2024 at Libor plus 200 basis points, the low end of the Libor plus 200 bps to 225 bps talk, according to a market source.

As before, the term loan has a 0% Libor floor, a par issue price and 101 soft call protection for six months.

After terms firmed up, the loan surfaced in the secondary market on Friday afternoon and levels were quoted at par 1/8 bid, par ½ offered, a trader added.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc. and Goldman Sachs Bank USA are leading the deal that will be used to reprice an existing term loan down from Libor plus 250 bps with a 0% Libor floor.

Caesars is a Las Vegas-based full-service gaming and entertainment company.

H.B. Fuller firms, frees up

H.B. Fuller set pricing on its $2,139,250,000 senior secured covenant-light term loan B due Oct. 20, 2024 at Libor plus 200 bps, the wide end of the Libor plus 175 bps to 200 bps talk, a market source remarked.

The term loan still has a 0% Libor floor, a par issue price and 101 soft call protection for six months.

By late day, the term loan began trading and levels were seen at par 1/8 bid, par 3/8 offered, a trader added.

Morgan Stanley Senior Funding Inc., Citigroup Global Markets Inc. and J.P. Morgan Securities LLC are leading the deal that will be used to reprice an existing term loan B due 2024 from Libor plus 225 bps with a 0% Libor floor.

Closing is expected in late April.

H.B. Fuller is a St. Paul, Minn.-based industrial adhesives, sealants, coatings and specialty materials company.

EIF flexes, starts trading

EIF Channelview Cogeneration trimmed pricing on its $275 million seven-year term loan B to Libor plus 425 bps from talk in the range of Libor plus 450 bps to 475 bps and changed the original issue discount to 99.5 from 99, while leaving the 1% Libor floor and 101 soft call protection for one year unchanged, according to a market source.

The company’s $305 million of senior secured credit facilities (B1/B+) also include a $30 million revolver.

Recommitments were due at 2 p.m. ET on Friday and by late day the term loan freed to trade with levels quoted at par ¼ bid, 101 offered, a trader added.

Morgan Stanley Senior Funding Inc. is the bookrunner on the deal and a joint lead arranger with Investec Bank plc.

Proceeds will be used to refinance existing debt.

Closing is expected on April 20.

EIF Channelview is an 856 MW natural gas-fired combined cycle cogeneration plant located in Channelview, Texas.

LA Fitness above OID

LA Fitness’ $675 million seven-year covenant-light term loan B (B1/BB-) began trading, with levels quoted at par ¼ bid, par 5/8 offered, a trader remarked.

Pricing on the term loan B is Libor plus 325 bps with a 0% Libor floor, and it was sold at an original issue discount of 99.75. The debt has 101 soft call protection for six months.

On Thursday, the term loan B was downsized from $700 million and the discount was changed from 99.5.

Bank of America Merrill Lynch, MUFG, Bank of the West and Fifth Third Bank are leading the deal that will be used with new pro rata facilities to refinance existing credit facilities and to fully redeem the outstanding $337 million of 6% preferred equity held by Seidler Institutional and Madison Dearborn Partners.

Due to the recent term loan B downsizing, the term loan A was upsized by $25 million.

LA Fitness is an Irvine, Calif.-based non-franchised fitness club operator.

LegalShield hits secondary

LegalShield’s credit facilities broke as well, with the $550 million seven-year covenant-light first-lien term loan (B1/B) seen at 99 7/8 bid, par 5/8 offered and then it moved to par bid, par 5/8 offered, and the $150 million eight-year covenant-light second-lien term loan (Caa1/B-) seen at 99¼ bid, par ¾ offered and then it moved to 99¾ bid, 101 offered, according to a trader.

Pricing on the first-lien term loan is Libor plus 325 bps with a 25 bps step-down 0.5 times inside closing first-lien net leverage and a 0% Libor floor. The loan was sold at an original issue discount of 99.5 and has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 750 bps with a 0% Libor floor and was issued at a discount of 99. This tranche has call protection of 102 in year one and 101 in year two.

On Thursday, pricing on the first-lien term loan was reduced from Libor plus 350 bps.

LegalShield getting revolver

In addition to the term loans, LegalShield’s $750 million of senior secured credit facilities include a $50 million revolver (B1/B).

RBC Capital Markets, SunTrust Robinson Humphrey Inc., KKR Capital Markets, Capital One and BMO Capital Markets are leading the deal that will be used to help fund the buyout of the company by Stone Point Capital LLC from MidOcean Partners.

Closing is expected in the second quarter.

LegalShield is an Ada, Okla.-based provider of legal plans and identity theft solutions.

Seminole begins trading

Seminole Tribe of Florida’s $1,194,000,000 term loan B (BBB/BBB) due July 6, 2024 also emerged in the secondary market, with levels quoted at par ½ bid, 101 offered, a trader said.

The term loan is priced at Libor plus 175 bps with a 0% Libor floor and was issued at par. The debt has 101 soft call protection for six months.

Bank of America Merrill Lynch and Fifth Third are leading the deal that will be used to reprice an existing term loan B down from Libor plus 200 bps with a 0% Libor floor.

Seminole Tribe of Florida is a Hollywood, Fla.-based Indian tribe that owns and operates gaming and resort facilities.

Golden Nugget tops par

Golden Nugget’s $2,308,162,500 term loan due Oct. 4, 2023 was another deal to break, and levels were quoted at par 3/8 bid, par ¾ offered, a market source remarked.

Pricing on the term loan is Libor plus 275 bps with a 0.75% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC, Deutsche Bank Securities Inc., Citigroup Global Markets Inc., Rabobank, KeyBanc Capital Markets, Citizens Bank and Capital One are leading the deal that will be used to reprice an existing term loan down from Libor plus 325 bps with a 0.75% Libor floor.

Golden Nugget is a diversified restaurant, hospitality and entertainment company.

USI finalizes terms

Returning to the primary market, USI firmed the issue price on its fungible $200 million incremental covenant-light term loan B due May 16, 2024 at par, the tight end of the 99.75 to par talk, a market source said.

The loan is priced at Libor plus 300 bps with a 0% Libor floor.

Bank of America Merrill Lynch, KKR Capital Markets, Citigroup Global Markets Inc., Macquarie Capital (USA) Inc. and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to fund the acquisition of Key Insurance & Benefits Services Inc. and for general corporate purposes.

USI is a Valhalla, N.Y.-based insurance brokerage and consulting firm.

Frontera discloses talk

Frontera Generation held its lender presentation on Friday and announced price talk on its $675 million seven-year covenant-light term loan B at Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The company’s $710 million of senior secured credit facilities also include a $35 million five-year revolver.

Commitments are due on April 26, the source said.

Morgan Stanley Senior Funding Inc. and MUFG are leading the deal that will be used to refinance the existing Lonestar Generation LLC credit facilities.

Frontera is a 526 MW combined cycle gas turbine power generation facility located in Mission, Texas. The plant holds a presidential permit and export authorization from the U.S. Department of Energy permitting the export of 100% of the plant’s generation into Mexico on its own dedicated transmission line.

Mavenir reveals guidance

Mavenir Systems came out with talk of Libor plus 525 bps to 550 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on its $550 million seven-year first-lien term loan B that launched with a morning bank meeting, a market source remarked.

The company’s $610 million of credit facilities (B2/B-) also include a $60 million revolver.

Commitments are due on April 25, the source added.

Goldman Sachs Bank USA, J.P. Morgan Securities LLC, RBC Capital Markets and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance existing debt.

Mavenir Systems is a provider of mission-critical network infrastructure software to mobile network operators.

Aegis launches

Aegis Toxicology Sciences had its lender presentation in the morning, launching its $320 million seven-year first-lien term loan B at talk of Libor plus 500 bps to 525 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The company’s $370 million of senior secured credit facilities (B3/B) also include a $50 million five-year revolver.

Commitments are due at noon ET on April 26, the source said.

Morgan Stanley Senior Funding Inc., SunTrust Robinson Humphrey Inc., Credit Suisse Securities (USA) LLC and Fifth Third are leading the deal that will be used to refinance existing debt.

Aegis Toxicology is a Nashville, Tenn.-based laboratory sciences company.

Hunterstown on deck

Hunterstown Generation scheduled a lender presentation for 10:30 a.m. ET on Tuesday to launch $415 million of senior secured credit facilities, a market source said.

The facilities consist of a $40 million revolver and a $375 million term loan B, the source added.

Morgan Stanley Senior Funding Inc. and Goldman Sachs Bank USA are leading the deal that will be used to fund Platinum Equity’s acquisition of the Hunterstown generation facility from GenOn Energy. Platinum Equity has partnered with AOS Energy Partners to acquire the asset.

Hunterstown is an 810 MW natural gas-fired combined cycle power plant located in Gettysburg, Pa. in the PJM-MAAC capacity region.

KeyW joins calendar

KeyW set a bank meeting for 10 a.m. ET in New York on Wednesday to launch $340 million of senior secured credit facilities, according to a market source.

The facilities consist of a $50 million five-year revolver, a $215 million six-year first-lien term loan and a $75 million seven-year second-lien term loan, the source said.

RBC Capital Markets is leading the deal that will be used to refinance the company’s capital structure.

KeyW is a Hanover, Md.-based total solutions provider for the Intelligence, Cyber and Counterterrorism communities.

R1 RCM readies loan

R1 RCM will hold a bank meeting at 10:30 a.m. ET in New York on Tuesday to launch a $270 million seven-year covenant-light term loan B, a market source remarked.

Bank of America Merrill Lynch and Ares are leading the deal that will be used with balance sheet cash and a privately placed subordinated PIK toggle notes offering to fund the acquisition of the healthcare division of Intermedix Corp., comprised of its physician and emergency medical services revenue cycle management, practice management and analytics businesses.

R1 RCM is a Chicago-based provider of revenue cycle management and physician advisory services to healthcare providers.

Avast plans call

Avast Software intends to hold a call at 9:30 a.m. ET on Tuesday for loan lenders, according to a market source.

Credit Suisse is leading the transaction.

Avast is a Prague-based maker of security software.

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