Autoparts tightens first- and second-lien discount price to 99½

By Sara Rosenberg

New York, July 20 - Autoparts Holdings Ltd. revised the original issue discount on its $530 million six-year first-lien term loan (B1/B+) and $150 million 61/2-year second-lien term loan (Caa1/B-) to 99½ from 99, according to a market source.

Pricing on the first-lien term loan is still Libor plus 500 bps with a 1.5% Libor floor, and pricing on the second-lien term loan is still Libor plus 900 bps with a 1.5% floor.

As before, the first-lien term loan includes 101 soft call protection for one year, and the second-lien term loan has call protection of 103 in year one, 102 in year two and 101 in year three.

The company's $730 million senior secured credit facility also includes a $50 million five-year revolver (B1/B+) priced at Libor plus 500 bps with a 1.5% Libor floor.

Recommitments were due by 5 p.m. ET on Wednesday.

Credit Suisse Securities (USA) LLC, HSBC Securities (USA) Inc. and Nomura are the joint lead arrangers on the deal.

Proceeds, along with roughly $307 million of equity, will be used to fund the acquisition by Rank Group of Honeywell's automotive consumer products group (Autoparts Holdings) in a cash transaction valued at about $950 million.

Closing is expected in the third quarter, subject to regulatory approval and customary conditions. It is not subject to financing.

Autoparts is a Danbury, Conn.-based supplier to the light- and heavy-duty vehicle aftermarket for replacement parts.

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