J.D. Power breaks; Artera tweaks talk; Aspen Dental, WCG, Gibson accelerate deadlines

By Sara Rosenberg

New York, June 21 – J.D. Power increased the size of its incremental first-lien term loan, reduced the spread and tightened the original issue discount, and cancelled plans for an incremental second-lien term loan, before freeing up for trading on Monday.

In more happenings, Artera Services LLC modified price talk on its incremental first-lien term loan, and Aspen Dental Management Inc., WCG Purchaser Corp. and Gibson Brands Inc. moved up the commitment deadlines for their term loans.

Also, Harbor Freight Tools USA Inc., US LBM, Charter Next Generation Inc., Technimark LLC and Mad Engine Global LLC released price talk with launch.

Furthermore, Victoria’s Secret, TK Elevator, Everi Holdings Inc., Royal Oak Enterprises (Ozark Holdings LLC), Univision, Skillsoft, iHeartCommunications Inc. and Joann Inc. joined this week’s primary calendar.

J.D. Power reworked, trades

J.D. Power raised its non-fungible incremental first-lien term loan B (/B-/B+) due May 2026 to $450 million from $410 million, trimmed pricing to Libor plus 350 basis points from talk in the range of Libor plus 375 bps to 400 bps and changed the original issue discount to 99.75 from 99.5, according to a market source.

Also, plans were eliminated for a $40 million incremental second-lien term loan that was talked at Libor plus 800 bps with a 0% Libor floor and a par issue price.

As before, the first-lien term loan has a 0.5% Libor floor and 101 soft call protection for six months.

Recommitments were due at noon ET on Monday and the incremental term loan began trading in the afternoon, with levels quoted at 99 7/8 bid, par 1/8 offered, a trader added.

RBC Capital Markets and KKR Capital Markets are leading the deal, with RBC the left lead on the first-lien loan. KKR was acting as the left lead on the second-lien loan.

The new debt will fund an acquisition and refinance a $100 million term loan B-1 put in place last year.

J.D. Power, a Thoma Bravo portfolio company, is a Troy, Mich.-based provider of automobile transactional data, valuation tools, vehicle feature information and consumer analytics to the automotive industry.

Artera revises talk

Artera Services changed spread talk on its $775 million incremental first-lien term loan (B3) due March 6, 2025 to Libor plus 350 bps from talk in the range of Libor plus 350 bps to 375 bps and original issue discount talk to a range of 99 to 99.5 from just 99, according to a market source.

The incremental term loan still has a 1% Libor floor and 101 soft call protection for six months.

Commitments are due at noon ET on Tuesday, moved up from 5 p.m. ET on Tuesday, the source added.

UBS Investment Bank, BofA Securities Inc., BNP Paribas Securities Corp., Deutsche Bank Securities Inc., Mizuho, BMO Capital Markets, MUFG, Citizens Bank, Antares and Jefferies LLC are leading the deal that will be used to fund the acquisitions of Feeney Utility Services Group and K.R. Swerdfeger Construction.

Artera, a portfolio company of Clayton Dubilier & Rice, is an Atlanta-based provider of integrated infrastructure services to the natural gas and electric utility industries. Feeney is a Boston-based provider of maintenance, repair and upgrade services to natural gas utilities. K.R. Swerdfeger is a Pueblo West, Colo.-based heavy civil contractor.

Aspen tweaks timing

Aspen Dental Management accelerated the commitment deadline for its non-fungible $700 million incremental term loan (B2/B) to 1 p.m. ET on Tuesday from noon ET on Wednesday, a market source remarked.

Talk on the term loan is Libor plus 400 bps to 425 bps with a 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

RBC Capital Markets is leading the deal that will be used to fund a shareholder distribution.

Aspen Dental is an East Syracuse, N.Y.-based dental support organization.

WCG accelerated

WCG Purchaser moved up the commitment deadline for its fungible $200 million incremental first-lien term loan due Jan. 8, 2027 to 5 p.m. ET on Tuesday from noon ET on Thursday, according to a market source.

Pricing on the incremental term loan is Libor plus 400 bps with a 1% Libor floor, and the debt is talked with an original issue discount of 99 to 99.5.

Barclays, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc., BofA Securities Inc., Jefferies LLC, BMO Capital Markets, UBS Investment Bank, HSBC Securities (USA) Inc. and Golub are leading the deal that will be used to fund an acquisition.

WCG is Princeton, N.J.-based provider of clinical trial optimization solutions.

Gibson changes deadline

Gibson Brands revised the commitment deadline for its $250 million seven-year term loan B (B2/B-) to end of day on Wednesday from noon ET on June 29, a market source said.

Talk on the term loan is Libor plus 550 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

KKR Capital Markets and JPMorgan Chase Bank are leading the deal that will be used to refinance existing debt and fund a dividend.

Gibson Brands is a Nashville-based maker of musical instruments and audio equipment.

Harbor Freight holds call

Harbor Freight Tools surfaced in the morning with plans to hold a lender call at 1 p.m. ET on Monday to launch a $2.985 billion senior secured covenant-lite term loan B due October 2027 talked at Libor plus 275 bps to 300 bps with a 0.5% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

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

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing term loan B due October 2027 from Libor plus 300 bps with a 0.75% Libor floor.

Harbor Freight is a Camarillo, Calif.-based retailer of tools and equipment.

US LBM launches

US LBM announced in the morning that it would hold a lender call at 2 p.m. ET on Monday to launch an $800 million incremental term loan B-2 due Dec. 18, 2027 and a $400 million incremental delayed-draw term loan B-2 due Dec. 18, 2027, both talked with an original issue discount of 98.56 to 99, a market source said.

Pricing on the term loans (B3/B-/B+), which are being sold as a strip, is Libor plus 375 bps with a 0.75% Libor floor, in line with existing term loan B-1 pricing, and the B-2 and B-1 debt will get 101 soft call protection for six months.

Delayed-draw ticking fees are half the margin from says 46 to 90 and the full margin thereafter, and availability is for 24 months, subject to 4.5x first-lien net leverage or first-lien net leverage immediately prior, the source continued.

The term loan B-2 is intended to be merged with the existing term loan B-1 for trading purposes once the delayed-draw term loan B-2 is fully funded.

US LBM lead banks

Barclays, Credit Suisse Securities (USA) LLC, BofA Securities Inc., Deutsche Bank Securities Inc., RBC Capital Markets, Truist and U.S. Bank are leading US LBM’s term loans.

Commitments are due at noon ET on Thursday, the source added.

The new loans will be used with $270 million of unsecured debt to fund the acquisition of American Construction Source from Angeles Equity Partners and Clearlake Capital Group, the acquisition of J.P. Hart Lumber and Hart Components, and other acquisitions under letters of intent.

US LBM is a Buffalo Grove, Ill.-based distributor of specialty building materials. American Construction is a Springfield, Mo.-based building materials distribution platform for custom home builders and repair and remodel contractors. J.P. Hart Lumber is a San Antonio, Tex.-based building products distributor and manufacturer.

Charter Next guidance

Charter Next Generation came out with talk of Libor plus 375 bps with a 0.75% Libor floor, a par issue price and 101 soft call protection for six months on its $1.836 billion first-lien term loan due December 2027 that launched with an afternoon call, according to a market source.

Signature pages are due at noon ET on Thursday, the source added.

Jefferies LLC and KKR Capital Markets are leading the deal, which will be used to reprice an existing $1.596 billion first-lien term loan and an existing fungible $240 million incremental first-lien term loan down from Libor plus 425 bps with a 0.75% Libor floor

Charter Next Generation is a Milton, Wis.-based producer of specialty films used in flexible packaging, industrial, health care, and consumer applications.

Technimark proposed terms

Technimark held its call in the afternoon and launched an upsized $475 million seven-year first-lien term loan (B2/B-) at talk of Libor plus 350 bps to 375 bps with a 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source remarked.

Prior to the lender call, the first-lien term loan was said to be sized at $460 million.

Commitments are due at noon ET on June 30, the source added.

The company still plans on getting a $170 million privately placed second-lien term loan and a $30 million privately placed delayed-draw second-lien term loan in addition to the first-lien term loan.

Goldman Sachs Bank USA, Wells Fargo Securities LLC, Antares Capital and MUFG are leading the deal that will be used to help fund the acquisition of a controlling stake in the company by Oak Hill Capital, forming a partnership with current investors, Pritzker Private Capital and management. Antares is the administrative agent.

Closing is expected in the third quarter.

Technimark is an Asheboro, N.C.-based manufacturer of custom application medical, consumer packaged goods, and specialty industrial plastic components and value-added assemblies.

Mad Engine talk

Mad Engine launched its morning call its $250 million six-year covenant-lite first-lien term loan (B) at talk of Libor plus 700 bps with a 1% Libor floor, an original issue discount of 97 to 98 and call protection of 102 in year one and 101 in year two, according to a market source.

Commitments are due at 10:30 a.m. ET on July 1, the source added.

Deutsche Bank Securities Inc., Wells Fargo Securities LLC and Credit Suisse Securities (USA) LLC are leading the deal that will be used to help fund the acquisition of Fifth Sun from company founder Dan Gonzales.

Mad Engine, a Platinum Equity portfolio company, is a San Diego-based apparel and accessories company. Fifth Sun is a Chico, Calif.-based supplier of licensed, non-licensed and private label apparel.

Victoria’s readies deal

Victoria’s Secret scheduled a lender call for 11 a.m. ET on Tuesday to launch a $500 million term loan B (BB+) talked at Libor plus 300 bps to 325 bps with a 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on June 30, the source added.

The company also plans on getting a $750 million asset-based revolver.

JPMorgan Chase Bank is leading the deal that will be used to help fund the company’s spinoff from L Brand Inc.

Closing is expected in August, subject to customary conditions.

Victoria’s Secret is a Reynoldsburg, Ohio-based retailer of intimates and beauty products.

TK Elevator on deck

TK Elevator will hold a lender call at 10 a.m. ET on Tuesday to launch a repricing of its roughly $2.861 billion senior secured term loan B due July 2027 and €1.015 billion senior secured term loan B due July 2027, and a new €200 million equivalent add-on term loan, a market source said.

The repriced euro term loan and add-on term loan debt will have a 0% floor, and all of the term loan debt will include 101 soft call protection for six months, the source added.

Commitments and consents are due at 10 a.m. ET on June 29, the source added.

Goldman Sachs is the sole physical bookrunner on the deal. Deutsche Bank is a bookrunner.

The add-on term loan will be used to partially repay existing senior notes.

Current pricing on the U.S. and euro term loans is Libor/Euribor plus 425 bps with a 0% floor.

TK Elevator is an international provider of elevator technology.

Everi joins calendar

Everi Holdings set a lender call for 11 a.m. ET on Tuesday to launch $725 million of credit facilities (Ba2/B+/BB+), according to a market source.

The facilities consist of a $125 million five-year revolver and a $600 million seven-year senior secured first-lien term loan, the source said.

The term loan has 101 soft call protection for six months.

Jefferies LLC, Barclays, Stifel and Truist are leading the deal that will be used with $400 million of senior unsecured notes to refinance existing debt. The company intends to refinance its $35 million revolver due 2022 and $820 million term loan due 2024, prepay in full its $125 million incremental term loan due 2024, and redeem its $285.4 million of unsecured notes due 2025.

Everi is a Las Vegas-based provider of land-based and digital casino gaming content and products, financial technology and player loyalty solutions.

Royal Oak coming soon

Royal Oak Enterprises scheduled a lender call for 11 a.m. ET on Tuesday to launch a $390 million first-lien term loan B due Dec. 16, 2027 talked at Libor plus 375 bps with a 0.5% Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments are due at noon ET on June 29, the source added.

Barclays is leading the deal that will be used to reprice an existing term loan B down from Libor plus 400 bps with a 0.75% Libor floor.

Royal Oak is a Roswell, Ga.-based manufacturer and distributor of fire building products and other consumable products.

Univision plans call

Univision will hold a lender call at noon ET on Tuesday to launch a $1.964 billion term loan B due March 2026 talked at Libor plus 325 bps with a 0.75% Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, according to a market source.

Goldman Sachs Bank USA is the left bookrunner on the deal that will be used to reprice an existing term loan B due 2026.

Univision is a New York-based Spanish-language content and media company.

Skillsoft joins calendar

Skillsoft set a lender call for 2 p.m. ET on Tuesday to launch a new loan to prospective lenders, a market source said.

Citigroup Global Markets Inc. is leading the deal.

Skillsoft is a Dublin-based provider of cloud-based learning services.

iHeart on deck

iHeartCommunications scheduled a call for 10 a.m. ET on Tuesday to launch a loan transaction, according to a market source.

BofA Securities Inc. is leading the deal.

iHeartCommunications is a San Antonio-based media company.

Joann refinancing

Joann set a lender call for 11 a.m. ET on Tuesday to launch a $635 million term loan B (B), a market source remarked.

BofA Securities Inc. is leading the deal that will be used to refinance an existing term loan.

Joann is a Hudson, Ohio-based retailer of fabrics and crafts.

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