Sirva ups spread on $300 million term loan B to Libor plus 625 bps

By Sara Rosenberg

New York, March 21 - Sirva Inc. raised pricing on its $300 million six-year term loan B to Libor plus 625 basis points from Libor plus 525 bps, according to a market source.

Also, the original issue discount firmed at 98, the wide end of the 98 to 99 talk, the source said.

And, the loan is now non-callable for 18 months, then at 102½ for a year and at 101 for a year, as opposed to just having 101 soft call protection for one year, the source continued.

The term loan B still has a 1.25% Libor floor.

Covenants on the term B include leverage and interest coverage ratios.

The issuer received a private rating from Standard & Poor's that puts the debt in the mid-single B area.

In addition to the term loan B, the company's $350 million credit facility includes a $50 million ABL revolver.

Goldman Sachs & Co. and Bank of America Merrill Lynch are the lead banks on the deal.

Proceeds will be used to refinance existing debt and fund a payout to preferred equity holders.

Net leverage through the term loan is 4 times.

Sirva is a Westmont, Ill.-based provider of moving and relocation services.

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