Life Time, Cole-Parmer, Visteon break; Seahawk, Hearthside updated; Utility One accelerated

By Sara Rosenberg

New York, Nov. 8 – Life Time Inc.’s term loan B made its way into the secondary market on Wednesday above its issue price, and deals from Cole-Parmer Instrument Co. and Visteon Corp. freed up for trading too.

Over in the primary market, Seahawk Holdings (Dell Software) increased the size of its incremental first-lien term loan and set the spread on the debt, as well as on the repricing of its existing term loan, at the high end of talk.

Also, Hearthside Group Holdings LLC firmed the issue price on its add-on term loan B at the tight side of guidance, and Utility One Source (UOS LLC) accelerated the commitment deadline on its incremental term loan B.

Furthermore, California Resources Corp., Outfront Media Inc., GNC Holdings Inc., Vistra Group, Walker & Dunlop Inc. and Bright Horizons Family Solutions Inc. disclosed price talk with launch.

In addition, Circor International Inc., Weight Watchers International Inc., EagleClaw Midstream Ventures LLC, Clarivate Analytics (Camelot Finance LP) and Angus Chemical Co. joined this week’s primary calendar.

Life Time tops par

Life Time’s $1,321,000,000 covenant-light term loan B due June 15, 2022 broke for trading on Wednesday, with levels quoted at par ¼ bid, par ½ offered, according to a market source.

The term loan is priced at Libor plus 275 basis points with a 1% Libor floor and was issued at par. The debt includes 101 soft call protection for six months.

Deutsche Bank Securities Inc. is leading the deal that will be used to reprice an existing term loan B down from Libor plus 300 bps with a 1% Libor floor.

Life Time is a Chanhassen, Minn.-based operator of sports, professional fitness, family recreation and spa destinations.

Cole-Parmer hits secondary

Cole-Parmer Instrument’s $507.6 million first-lien term loan (B2/B) due March 21, 2024 freed to trade as well, with levels seen at par ½ bid, 101 offered, a market source said.

Pricing on the loan is Libor plus 350 bps with a 1% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC is leading the deal that will be used to reprice an existing term loan down from Libor plus 400 bps with a 1% Libor floor.

Cole-Parmer is a Vernon Hills, Ill.-based provider of laboratory and industrial fluid handling products, instrumentation, equipment and supplies.

Visteon frees up

Visteon’s $350 million senior secured covenant-light term loan B (Ba2/BB+) due March 24, 2024 also began trading, with levels quoted at par ¼ bid, par 5/8 offered, according to a market source.

Pricing on the loan is Libor plus 200 bps with a 0% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

Citigroup Global Markets Inc. is leading the deal that will be used to reprice an existing term loan down from Libor plus 225 bps with a 0% Libor floor.

Closing is expected during the week of Nov. 13.

Visteon is a Van Buren Township, Mich.-based designer and manufacturer of cockpit electronics products and connected car solutions for vehicle manufacturers.

Seahawk revised

Switching to the primary market, Seahawk Holdings lifted its incremental first-lien term loan due October 2022 to $650 million from $375 million and finalized pricing on the debt and on the repricing of its existing $1.32 billion first-lien term loan due October 2022 at Libor plus 550 bps, the wide end of the Libor plus 525 bps to 550 bps talk, a market source remarked.

As before, the term loan debt has a 1% Libor floor and 101 soft call protection for six months, the incremental term loan has as original issue discount of 99.5 and the repricing has a par issue price.

Commitments are due at 11 a.m. ET on Thursday, the source added.

Credit Suisse Securities (USA) LLC is the left lead bank on the deal.

The incremental loan will be used to refinance preferred equity and, because of the upsizing, to repay an existing second-lien term loan, and the repricing will take the existing term loan down from Libor plus 600 bps with a 1% Libor floor.

Seahawk is a provider of integrated software, identity and management solutions and network security solutions.

Hearthside sets price

Hearthside Group firmed the issue price on its fungible $70 million add-on term loan B due June 2, 2021 at par, the tight end of the 99.75 to par talk, and accelerated the commitment deadline to 5 p.m. ET on Wednesday from 5 p.m. ET on Thursday, according to a market source.

Pricing on the add-on term loan matches the existing term loan B at Libor plus 300 bps with a 1% Libor floor.

Barclays is leading the deal that will be used to help fund the acquisition of Standard Functional Foods Group, a Nashville-based contract manufacturer of nutritional and functional bars, from Standard Candy Co. and to pay related fees and expenses.

Closing is subject to regulatory approval and customary conditions.

Hearthside is a Downers Grove, Ill.-based manufacturer of grain based food and snack products.

Utility One moves deadline

Utility One Source accelerated the commitment deadline on its fungible $50 million incremental covenant-light first-lien term loan B due April 18, 2023 to 5 p.m. ET on Wednesday from noon ET on Thursday, a market source said.

Talk on the incremental loan is Libor plus 550 bps with a 1% Libor floor, an issue price of 102 to 102.5 and call protection of non-callable until April 18, 2018, then at 102 for one year.

Morgan Stanley Senior Funding Inc., Citigroup Global Markets Inc. and RBC Capital Markets LLC are leading the deal that will be used for general corporate purposes, including to support additional rental equipment investments.

Utility One is a Kansas City, Mo.-based provider of equipment and service solutions to the utility and infrastructure sectors.

California Resources refinancing

Also in the primary market, California Resources launched with a call on Wednesday a $1 billion five-year term loan talked at Libor plus 550 bps with a 1% Libor floor, an original issue discount of 97 and call protection of 102 that steps down to par 90 days prior to maturity, according to a market source.

Commitments are due at 5 p.m. ET on Friday, the source said.

Goldman Sachs Bank USA and J.P. Morgan Securities LLC are leading the deal that will be used to refinance existing debt.

California Resources is a Los Angeles-based oil and natural gas exploration and production company.

Outfront come to market

Outfront Media hosted a lender call at 2:30 p.m. ET on Wednesday to launch a $670 million senior secured covenant-light first-lien term loan B (Ba1/BB+) due March 16, 2024 at talk of Libor plus 200 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on Nov. 15, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to reprice an existing term loan B.

Outfront Media is a New York-based out-of-home media company.

GNC details

GNC launched at its lender meeting a $705 million term loan B talked at Libor plus 700 bps with a 1% Libor floor, an original issue discount of 97.5 to 98 and hard call protection of 102 in year one and 101 in year two, according to a market source.

Commitments are due at noon ET on Nov. 17, the source said.

Bank of America Merrill Lynch, Barclays, BMO Capital Markets, Citizens Bank and J.P. Morgan Securities LLC are leading the deal that will be used with new senior secured notes and borrowings under a new senior secured asset-based revolver to repay existing credit facilities and for general corporate purposes.

GNC is a Pittsburgh-based specialty health, wellness and performance retailer.

Vistra Group launches

Vistra Group held its lender call and released talk on its $80 million equivalent add-on first-lien U.S. and euro term loan (B2/B), $252 million repriced first-lien term loan (B2/B), €385 million repriced first-lien term loan (B2/B), $36 million repriced second-lien term loan (B3/CCC+) and €29 million repriced second-lien term loan (B3/CCC+), according to a market source.

The U.S. first-lien term loan debt is talked at Libor plus 325 bps with a 1% Libor floor and the euro first-lien term loan debt is talked at Euribor plus 350 bps with a 0% floor, the source said. The add-on loan is talked with an original issue discount of 99.75 and the repricings are offered with a 10 bps amendment fee. All of the debt has 101 soft call protection for six months.

Talk on the U.S. second-lien term loan is Libor plus 725 bps with a 1% Libor floor and talk on the euro second-lien term loan is Euribor plus 725 bps with a 0% floor. Both tranches are offered with a 10 bps amendment fee and are non-callable for one year.

Commitments are due at noon ET on Nov. 15, the source added.

Vistra lead banks

Goldman Sachs Bank USA and HSBC Securities (USA) Inc. are leading Vistra Group’s add-on and repriced term loans.

The add-on term loan will be used to prepay a portion of the existing second-lien term loan debt resulting in the $36 million and €29 million tranche sizes.

Meanwhile, the repricings will take the U.S. first-lien term loan down from Libor plus 375 bps with a 1% Libor floor, revise euro first-lien term loan pricing from Euribor plus 300 bps with a 1% floor, and take the second-lien term loans down from Libor/Euribor plus 800 bps with a 1% Libor floor.

Vistra Group is a provider of company formations, trust, corporate and fund administration services.

Walker releases guidance

Walker & Dunlop came out with talk of Libor plus 300 bps with a 1% Libor floor and a par issue price on its $166.5 million term loan B due Dec. 20, 2020 that launched with a morning call, a market source remarked.

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

Commitments are due at 3 p.m. ET on Nov. 15, the source added.

Wells Fargo Securities LLC is leading the deal that will be used to reprice an existing term loan B down from Libor plus 425 bps with a 1% Libor floor.

Walker & Dunlop is a Bethesda, Md.-based provider of commercial real estate financial services.

Bright Horizons holds call

Bright Horizons Family Solutions hosted a lender call at 10 a.m. ET, launching a $1.07 billion term loan B at talk of Libor plus 200 bps with a 0.75% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on Nov. 15, the source said.

J.P. Morgan Securities LLC is leading the deal that will be used to reprice an existing term loan B down from Libor plus 225 bps with a 0.75% Libor floor.

Bright Horizons is a Watertown, Mass.-based provider of employer-sponsored child care, back-up care, early education, educational advisory services and other work/life services.

Circor timing emerges

In more primary happenings, Circor set a bank meeting for 10 a.m. ET in New York on Friday to launch its previously announced $785 million seven-year covenant-light term loan B that includes a 1% Libor floor and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on Nov. 20.

Deutsche Bank Securities Inc., SunTrust Robinson Humphrey Inc., Citizens Bank and HSBC Securities (USA) Inc. are leading the deal (B1/B+).

Based on the commitment letter, the company is also expected to get a $150 million five-year revolver, and the spread on the revolver and term loan is expected to be Libor plus 425 bps.

Circor funding acquisition

Proceeds from Circor’s new debt will be used to help fund the acquisition of Colfax Fluid Handling from Colfax Corp. for about $855 million including $542 million in cash, the issuance of about 3.3 million in new Circor shares to Colfax and the assumption of pension plans with a net liability of $150 million on a pre-tax basis linked to the Colfax Fluid Handling business, and to refinance existing debt.

Net debt to EBITDA at closing will be around 5 times.

Closing is expected by the end of the year, subject to regulatory approvals and other customary conditions.

Circor is a Burlington, Mass.-based designer, manufacturer and marketer highly engineered products and sub-systems for markets including oil & gas, power generation and aerospace & defense. Colfax Fluid Handling is a provider of engineering, development‚ manufacturing‚ distribution‚ service and support of fluid handling systems.

Weight Watchers on deck

Weight Watchers scheduled a lender call for 10:30 a.m. ET on Thursday to launch a $1.39 billion seven-year term loan B, according to a market source.

Official price talk on the loan is not yet available, but, the source said that he is hearing whispers of Libor plus 375 bps.

J.P. Morgan Securities LLC is leading the deal (Ba3/B) that will be used to refinance existing debt.

In connection with the refinancing, the company has also received a commitment for a new $150 million revolver due 2022.

Weight Watchers is a New York-based provider of weight management services.

EagleClaw plans repricing

EagleClaw Midstream Ventures set a lender call for Thursday to launch a repricing of its term loan, a market source remarke.

Jefferies LLC is leading the deal.

EagleClaw is a Midland, Texas-based midstream operator in the Permian’s Delaware Basin in West Texas.

Clarivate schedules call

Clarivate Analytics surfaced with plans to hold a call at 9 a.m. ET on Thursday for credit facility lenders, according to a market source.

Credit Suisse Securities (USA) LLC is leading the transaction.

Clarivate, formerly known as Thomson Reuters’ Intellectual Property & Science (IP&S) business, is a Philadelphia-based provider of comprehensive intellectual property and scientific information, decision support tools and services.

Angus readies deal

Angus Chemical will hold a lender call at 10 a.m. ET on Thursday to launch a $220 million term loan due February 2022 talked at Libor plus 325 bps with a 1% Libor floor and a par issue price, and a €246 million term loan due February 2022 talked at Euribor plus 325 bps with a 0.5% floor and a par issue price, a market source said.

Both term loans include 101 soft call protection for six months, the source added.

Commitments are due on Nov. 16.

J.P. Morgan Securities LLC is leading the deal that will be used to reprice existing term loans.

Angus is a Buffalo Grove, Ill.-based manufacturer and distributor of nitroalkanes and their derivatives.

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