Spectrum Brands cuts spread on $680 million loan to Libor plus 400 bps

By Sara Rosenberg

New York, Jan. 24 - Spectrum Brands Holdings Inc. reduced pricing on its $680 million term loan to Libor plus 400 basis points from Libor plus 450 bps and lowered the Libor floor to 1% from 1.5%, according to a market source.

As before, the loan is being offered at par and has 101 soft call protection for one year.

Commitments are due at noon ET on Tuesday.

Credit Suisse is the lead bank on the deal.

Proceeds will be used to refinance the company's existing $680 million senior secured term loan at a price of 101. The existing loan is set to mature in June 2016 and is priced at Libor plus 650 bps with a 1.5% Libor floor and had been issued at a discount of 98.

Other funds for the refinancing will come from cash on hand.

Closing on the transaction is expected to occur this month.

Spectrum Brands is a Madison, Wis.-based consumer products company.

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