OpenLink, Metaldyne, Aramark break; Coinmach dips; Party City, Nexeo update deals

By Sara Rosenberg

New York, Feb. 19 - OpenLink International firmed the spread on its term loan at the tight end of talk and Metaldyne LLC extended the call protection on its loans, and then both deals freed up for trading on Wednesday.

Meanwhile. Aramark Corp.'s term loans also hit the secondary during the session, and Coinmach Corp.'s first-lien term loan was a bit lower as the company emerged with incremental loan plans.

Back in the primary, Party City Holdings Inc. modified the offer price on its term loan and removed the pricing step-downs, and Nexeo Solutions LLC finalized the original issue discount on its term loan at the low end of talk while extending the call protection.

Furthermore, Asurion LLC, Stuart Weitzman LLC released talk with launch, Alliance Laundry Holdings LLC disclosed original issue discount guidance on its incremental term loan, and Petroleum Geo-Services ASA joined the calendar.

OpenLink hits secondary

OpenLink's $333.2 million first-lien covenant-light term loan due October 2017 broke for trading on Wednesday after pricing on the loan finalized at Libor plus 500 basis points, the low end of the Libor plus 500 bps to 525 bps talk, according to a market source.

The loan was quoted at par ¼ bid, par ¾ offered, the source said.

Included in the term loan is a 1.25% Libor floor and 101 soft call protection for six months, and the debt was issued at par.

Credit Suisse Securities (USA) LLC and Wells Fargo Securities LLC are leading the deal that will be used to reprice an existing term loan from Libor plus 625 bps with a 1.5% Libor floor.

OpenLink is a Uniondale, N.Y.-based provider of cross-asset trading, risk management and operations processing software services.

Metaldyne starts trading

Metaldyne's loans also freed up, with the $536 million term loan B due Dec. 31, 2018 quoted at par ¼ bid, par ¾ offered, a trader said.

Pricing on the U.S. term loan is Libor plus 325 bps with a 1% Libor floor and it was issued at par.

The company is also getting a €99 million term loan B due Dec. 31, 2018 priced at Euribor plus 375 bps with a 1% floor.

Both term loans saw their 101 soft call protection extended to one year from six months prior to allocations going out, a source added.

Bank of America Merrill Lynch is leading the deal that will be used to reprice an existing U.S. term loan from Libor plus 375 bps with a 1.25% Libor floor and an existing euro term loan from Euribor plus 525 bps with a 1.25% floor.

Metaldyne is a Plymouth, Mich.-based designer and supplier of metal-formed components and assemblies for powertrain applications.

Aramark tops OIDs

Aramark's term loans began trading as well, with the $1.4 billion term loan E due September 2019 quoted at 99 7/8 bid, par 3/8 offered and the $2.15 billion seven-year term loan F quoted at 99¾ bid, par ¼ offered, according to a trader.

Pricing on the term loan E is Libor plus 250 bps with a 0.75% Libor floor and it was sold at a discount of 993/4. There is 101 soft call protection for one year.

The term loan F is priced at Libor plus 250 bps with a 0.75% Libor floor and was sold at 991/2. This debt also has 101 soft call protection for one year.

During syndication, the spread on the term loan E was increased from Libor plus 225 bps and the offer price firmed at the high end of revised talk of 99¾ to par and wide of initial talk of just par, the offer price on the term loan F finalized at the high end of revised talk of 99½ to 99¾ and wide of initial talk of just 993/4, and both term loans saw the call protection extended from six months.

Aramark non U.S. tranches

Aramark is also getting £115 million seven-year term loan priced at Libor plus 325 bps and a €140 million seven-year term loan priced at Euribor plus 275 bps, with both of these tranches having a 0.75% floor and 101 soft call protection for one year (after being extended from six months), and both sold at a discount of 991/2.

Recently, pricing on the pound term loan firmed at the low end of the Libor plus 325 bps to 350 bps talk, the euro term loan was upsized from €110 million while the spread firmed at the tight end of the Euribor plus 275 bps to 300 bps talk, and a C$95 million seven-year term loan talked at BA plus 275 bps to 300 bps with a 0.75% floor and a discount of 99¾ was eliminated from the capital structure.

J.P. Morgan Securities LLC, Barclays, Goldman Sachs Bank USA, Wells Fargo Securities LLC and RBC Capital Markets are leading the deal (B1/BBB-) that will be used to refinance existing debt.

Aramark is a Philadelphia-based professional services company that provides food, hospitality and facility management services as well as uniform and work apparel.

Coinmach softens

Also in trading, Coinmach's first-lien term loan dipped to par ¼ bid, par ¾ offered from par ½ bid, par 7/8 offered following news that the company plans on getting a $125 million incremental covenant-light first-lien term loan due November 2019 to pay down some second-lien term loan borrowings, according to a market source.

The incremental term loan will launch with a call at 1:30 p.m. ET on Thursday and is talked at Libor plus 325 bps with a 1% Libor floor and 101 soft call protection until July 2014, another source said. The original issue discount is not yet available.

Spread, floor, maturity and call protection on the incremental loan match the existing first-lien term loan.

Deutsche Bank Securities Inc. and Morgan Stanley Senior Funding Inc. are leading the deal for which commitments are due on Friday, the source added.

Coinmach is a laundry equipment service provider.

Blue Coat holds steady

Blue Coat Systems Inc.'s $746 million covenant-light first-lien term loan due May 2019, which includes a $50 million add-on, was seen at par ¼ bid, par ¾ offered on Wednesday, basically unchanged from where it broke on Tuesday, a trader remarked.

Pricing on the loan is Libor plus 300 bps with a 1% Libor floor and it was issued at par. There is 101 soft call protection for six months.

Recently, the offer price on the add-on portion of the deal firmed at the tight end of the 99¾ to par talk.

Proceeds from the add-on will be used for general corporate purposes, and the repricing will take the existing loan down from Libor plus 350 bps with a 1% Libor floor.

Jefferies Finance LLC is leading the deal for the Sunnyvale, Calif.-based web security company.

Party City tweaks deal

Back on the new deal front, Party City changed the offer price on its $1.11 billion covenant-light term loan B due July 2019 to par from talk of 99¾ to 99 7/8, while keeping pricing at Libor plus 300 bps with a 1% Libor floor and the 101 soft call protection for six months intact, a source said.

However, the company did remove previously proposed step-downs to Libor plus 275 bps at 6.25 times total leverage and to Libor plus 250 bps at 5.5 times total leverage subject to a qualifying initial public offering, the source continued.

Recommitments are due at noon ET on Thursday.

Deutsche Bank Securities Inc. is leading the deal that will be used to reprice an existing term loan from Libor plus 325 bps with a 1% Libor floor.

Party City is a Rockaway, N.J.-based designer, manufacturer and distributor of party goods, including paper and plastic tableware, metallic balloons, accessories, novelties, gifts and stationery.

Nexeo firms offer price

Nexeo Solutions set the original issue discount on its $170 million incremental covenant-light term loan B-3 (B2/B+) due September 2017 at 991/2, the tight end of the 99 to 99½ talk, and pushed out the 101 soft call protection to one year from six months, according to a market source.

Pricing on the term loan is Libor plus 350 bps with a 1.5% Libor floor.

Bank of America Merrill Lynch is leading the deal that will be used to pay down ABL revolver borrowings and for general corporate purposes.

Nexeo is a Woodlands, Texas-based distributor of chemicals, plastics and composites.

Asurion discloses guidance

Asurion came out with talk on its first- and second-lien term loans in connection with its Wednesday bank meeting, and lenders are being asked to get their orders in by noon ET on Feb. 26, according to a market source.

The fungible $300 million add-on term loan B-1 (B) due May 2019 is talked at Libor plus 375 bps with a 1.25% Libor floor, an original issue discount of 99 to 99½ and 101 soft call protection for one year, the $250 million three-year term loan B-3 (B) is talked at Libor plus 300 bps with a 0.75% Libor floor, a discount of 99½ and 101 soft call protection for one year, and the $1.7 billion seven-year second-lien term loan (CCC+) is talked at Libor plus 750 bps to 800 bps with a 1% Libor floor, a discount of 98 and call protection of non-callable for one year, then at 103 in year two and 101 in year three, the source said.

Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., Deutsche Bank Securities Inc., Barclays, Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are leading the $2.25 billion of covenant-light term loans that will be used to refinance existing debt and fund a dividend.

Asurion is a Nashville-based provider of technology protection services.

Stuart Weitzman sets talk

Stuart Weitzman held its bank meeting, launching its $220 million six-year term loan B (B3) with talk of Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months, according to a market source.

The company's $255 million senior secured credit facility also includes a $35 million asset-based revolver.

Commitments are due on March 5, the source said.

Jefferies Finance LLC and MCS Corporate Lending LLC are leading the term loan, and Wells Fargo Securities LLC is leading the revolver.

Proceeds will be used to help fund the buyout of the company by Sycamore Partners, which is subject to completion of the purchase of Stuart Weitzman's parent company, Jones Group Inc., by Sycamore Partners, LP.

Stuart Weitzman is a New York-based footwear and handbag company.

Alliance Laundry OID

Alliance Laundry launched in the morning its $230 million incremental first-lien term loan with original issue discount talk of 993/4, according to a market source, who said pricing on the loan is Libor plus 325 bps with a 1.25% Libor floor.

BMO Capital Markets and Bank of America Merrill Lynch are leading the deal.

Proceeds will be used to help fund the acquisition of Primus Laundry Equipment Group.

Closing is expected by the end of March, subject to customary conditions.

Alliance Laundry is a Ripon, Wis.-based designer, manufacturer and marketer of commercial laundry equipment. Primus is a Gullegem, Belgium-based marketer of commercial washer-extractors, tumbler dryers, ironers and feeding and folding equipment.

Petroleum Geo on deck

Petroleum Geo-Services scheduled a bank meeting for 9:30 a.m. ET on Friday to launch a $400 million term loan B, according to a market source.

Barclays, BNP Paribas Securities Corp., J.P. Morgan Securities LLC and RBS Securities Inc. are leading the deal that will be used to amend and extend the company's existing senior secured term loan B.

Petroleum Geo-Services is an Oslo, Norway-based marine seismic survey and data processing company.

Arden closes

In other news, the buyout of Arden Group Inc. by TPG for $126.50 per share, or about $394 million has been completed, a news release said.

For the transaction, Arden got a new $180 million senior secured credit facility consisting of a $30 million five-year revolver and a $150 million six-year term loan B.

Pricing on the term loan is Libor plus 425 bps with a 1% Libor floor and it was sold at an original issue discount of 99. There is 101 soft call protection for six months.

During syndication, the spread on the term loan was raised from Libor plus 375 bps.

BMO Capital Markets led the deal for the Compton, Calif.-based operator of specialty grocery stores.

Diamond Foods wraps

Diamond Foods Inc. closed on its $540 million senior secured credit facility that includes a $125 million asset-based revolver due in 2018 and a $415 million 41/2-year first-lien covenant-light term loan (B2/B-), according to a news release.

Pricing on the term loan is Libor plus 325 bps with a 1% Libor floor and it was sold at an original issue discount of 991/2. There is 101 soft call protection for six months.

During syndication, pricing on the term loan was trimmed from talk of Libor plus 375 bps to 400 bps.

Credit Suisse Securities (USA) LLC, Wells Fargo Securities LLC, Barclays, BMO Capital Markets and SunTrust Robinson Humphrey Inc. led the deal that was used by the San Francisco-based packaged food company to refinance an existing credit facility due Feb. 25, 2015 and senior notes due 2020 held by Oaktree.

Other funds for the refinancing came from $230 million of senior unsecured notes.

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