Ameriforge, ION Media, Renfro break; Alcatel, Apex Tool, Walter Investment revise deals

By Sara Rosenberg

New York, Jan. 22 - Ameriforge Group Inc.'s credit facility freed up for trading on Wednesday, with both the first- and second-lien term loans quoted above their original issue discount prices, and ION Media Networks Inc. (Media Holdco LP) and Renfro Corp. made their way into the secondary as well.

Over in the primary, Alcatel-Lucent USA Inc. tweaked sizes and pricing on its loans, Apex Tool Group lowered the coupon on its credit facility due to strong demand and Walter Investment Management Corp. increased the size of its add-on deal.

Also, Healogics Inc., Genesys, Syniverse Holdings, Regent Seven Seas Cruises, AlixPartners LLP and DineEquity Inc. came out with talk with launch, and Blackboard Inc. set the original issue discount guidance.

Furthermore, Petco Animal Supplies and TransUnion Corp. announced plans to approach lenders with repricing transactions, and J.G. Wentworth (Orchard Acquisition Co. LLC) revealed new deal plans.

Ameriforge frees up

Ameriforge's credit facility hit the secondary market on Tuesday, with the $375 million seven-year first-lien covenant-light term loan (B1) quoted at par ½ bid, 101½ offered, and the $150 million eight-year second-lien term loan (Caa1) quoted at 101 bid, according to a source.

Pricing on the first-lien term loan is Libor plus 375 basis points with a 1.25% Libor floor, and it was sold at an original issue discount of 991/2. There is 101 soft call protection for one year.

The second-lien loan is priced at Libor plus 750 bps with a 1.25% Libor floor, and it was sold at a discount of 99. This debt has call protection of 103 in year one, 102 in year two and 101 in year three.

During syndication, the first-lien term loan was upsized from $350 million, pricing was cut from Libor plus 400 bps and the discount was revised from 99. Also, the second-lien term loan was reverse flexed from Libor plus 775 bps and the discount tightened from 98.

Ameriforge getting revolver

In addition to the term loans, Ameriforge's $607.5 million facility includes an $82.5 million five-year revolver (B1).

Proceeds will be used to back the already completed buyout of the company by First Reserve Corp. from Tanglewood Investments Inc. and, as a result of the first-lien term loan upsizing, the amount of equity used for the transaction is being reduced.

Deutsche Bank Securities Inc., UBS Securities LLC, Goldman Sachs & Co. and RBC Capital Markets LLC are the lead banks on the deal.

Ameriforge is a Houston-based manufacturer of highly engineered products, subassemblies and integrated systems for the oil and gas, midstream, downstream, power generation, aerospace, transportation and industrial markets.

ION Media tops OID

Another deal to free up was ION Media's $255 million 51/2-year term loan B (B2/BB-), with levels quoted at 99 bid, par offered, according to a trader.

The term loan B is priced at Libor plus 600 bps with a 1.25% Libor floor, and was sold at an original issue discount of 981/2. There is 101 soft call protection for one year.

During syndication, pricing on the loan was increased from talk of Libor plus 550 bps to 575 bps.

J.P. Morgan Securities LLC is the lead bank on the deal that will be used to fund an equity repurchase of minority investors.

ION is a television broadcast network.

Renfro starts trading

Renfro's $220 million term loan B (B2/B) also broke for trading, with levels seen at 101 bid, 101½ offered, a trader remarked.

Pricing on the loan is Libor plus 450 bps with a 1.25% Libor floor, and it was sold at a discount of 991/2. The tranche has 101 soft call protection for one year.

Last week, pricing on the loan was trimmed from Libor plus 500 bps and the discount was changed from 99.

RBC Capital Markets is leading the deal that will be used to refinance an existing term loan and fund a distribution to shareholders.

Renfro is a Mount Airy, N.C.-based designer, manufacturer and marketer of socks.

Alcatel reworks deal

Switching to the primary, Alcatel-Lucent upsized its U.S. six-year term loan to $1.75 billion from $1.275 billion and revised pricing to Libor plus 625 bps from Libor plus 700 bps, according to a source.

Furthermore, pricing on the $500 million 31/2-year term loan was trimmed to Libor plus 525 bps from Libor plus 600 bps, the source said.

And, the euro six-year term loan was upsized to €300 million from €250 million and reverse flexed to Euribor plus 650 bps from Euribor plus 700 bps.

In addition, all of the term loans saw their original issue discount prices tighten to 99 from 98, and their 1.25% floors left intact, the source continued.

The 31/2-year term loan still has 101 soft call protection for one year, and the two six year loans are still non-callable for one year, then at 102 in year two and 101 in year three.

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

Credit Suisse Securities (USA) LLC and Goldman Sachs & Co. are leading the covenant-light loans that will be used to refinance existing debt and for general corporate purposes.

Alcatel is a Paris-based telecommunications services and equipment company.

Apex flexes lower

Apex Tool Group trimmed pricing on its $835 million seven-year covenant-light term loan and $175 million five-year revolver to Libor plus 350 bps from guidance of Libor plus 400 bps to 425 bps, according to a market source.

The term still has a 1.25% Libor floor, original issue discount of 99 and 101 soft call protection for one year, and the revolver is still being offered with a 100 bps upfront fee.

Commitments are due at 5 p.m. ET on Wednesday. This deadline was moved up last week from this Friday.

Barclays, Goldman Sachs & Co., Morgan Stanley Funding Inc., RBC Capital Markets LLC, Citigroup Global Markets Inc. and Deutsche Bank Securities Inc. are leading the $1.01 billion senior secured credit facility (B1/B) that will help fund the roughly $1.6 billion buyout of the Sparks, Md.-based tool manufacturer by Bain Capital from Cooper Industries and Danaher Corp.

Senior secured leverage is 3.6 times and net total leverage is 5.4 times.

Closing is expected in the first half of this year, subject to regulatory approvals.

Walter ups loan

Walter Investment Management lifted its first-lien add-on term loan (B2/B+) due Nov. 28, 2017 to $825 million from $475 million, according to a market source.

Pricing on the add-on matches existing term loan pricing at Libor plus 450 bps with a 1.25% Libor floor, and the add-on is being offered with an original issue discount of 99 to 991/2. There is 101 repricing protection until Nov. 28, 2013.

Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc. and Bank of America Merrill Lynch are leading the deal that will be used to fund the initial installments for the purchase of the mortgage servicing rights related to the $93 billion in UPB of servicing from Bank of America, and for working capital and general corporate purposes.

Commitments are due at 5 p.m. ET on Wednesday and closing is expected on Jan. 31.

Walter Investment is a Tampa, Fla.-based asset manager, mortgage servicer and mortgage portfolio.

Healogics pricing

Healogics held a bank meeting on Tuesday to kick off syndication on its credit facility and., with the event, price talk on the first- and second-lien term loans was announced, according to a market source.

The $290 million first-lien term loan (B1/B) is talked at Libor plus 425 bps to 450 bps with a 1.25% Libor floor and an original issue discount of 99 and has 101 soft call protection for one year, the source said.

And, the $110 million second-lien term loan (Caa1/CCC+) is talked at Libor plus 825 bps to 850 bps with a 1.25% Libor floor and a discount of 981/2, and has call protection of 103 in year one, 102 in year two and 101 in year three, the source continued.

Commitments for the $430 million credit facility, which also includes a $30 million revolver (B1/B), are due on Feb. 1.

RBC Capital Markets, GE Capital Markets Corp., BMO Capital Markets and Jefferies & Co. are leading the deal that will be used to refinance existing debt and to fund a distribution to shareholders.

Healogics is a Jacksonville, Fla.-based provider of outpatient wound care management services.

Genesys comes to market

Genesys launched its $675 million first-lien term loan to U.S. investors with talk of Libor plus 350 bps to 375 bps with a 1.25% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

The loan already launched to European investors with a bank meeting on Monday.

Goldman Sachs & Co., Citigroup Global Markets Inc., J.P. Morgan Securities LLC and RBC Capital Markets LLC are the leading the deal that will be used to refinance existing debt.

Genesys is a Daly City, Calif.-based supplier of contact center technology software.

Syniverse details emerge

Syniverse came out with talk of Libor plus 325 bps with a 1.25% Libor floor and an original issue discount of 99 to 99½ on its $625 million delayed-draw add-on senior secured term loan due April 2019 that was presented to lenders with a call in the afternoon, according to a market source.

The loan has a ticking fee of 100 bps for the first month, half the spread for the second and third months and the full spread therafter, the source continued.

Commitments are due on Jan. 30.

Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc. and Goldman Sachs & Co. are leading the loan that will help fund the roughly €550 million purchase of MACH, a Luxembourg-based provider of cloud-based communication services.

Closing on the acquisition is subject to regulatory approvals.

Syniverse is a Tampa, Fla.-based provider of technology and business services for the telecommunications industry.

Regent sets talk

Regent Seven Seas launched in the morning its roughly $300 million term loan B repricing, and talk is Libor plus 375 bps to 400 bps with a 1.25% Libor floor, versus current pricing of Libor plus 500 bps with a 1.25% Libor floor, a market source said.

The repriced loan is being offered at par and includes 101 soft call protection for one year.

With the repricing, lenders will get paid out at 101 due to existing call protection.

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

Deutsche Bank Securities Inc. is leading the deal for the Miami-based cruise ship company.

AlixPartners guidance

AlixPartners launched during the session the repricing of its $100 million term loan B-1 due June 2017 at talk of Libor plus 325 bps to 350 bps with no floor and a par offer price, versus current pricing of Libor plus 425 bps with a 1.25% Libor floor, according to a market source.

Also, the company launched the repricing of its $505 million term loan B-2 due June 2019 with talk of Libor plus 325 bps to 350 bps with a 1.25% Libor floor and a par offer price, versus current pricing of Libor plus 525 bps with a 1.25% floor, the source said.

Lead bank, Deutsche Bank Securities Inc., is asking for commitments by 5 p.m. ET on Jan. 29.

AlixPartners is a performance improvement, corporate turnaround and financial advisory services firm based in New York.

DineEquity launches

DineEquity held its call on Tuesday too, launching its $75 million revolver due Oct. 19, 2015 and $472 million term loan due Oct. 19, 2017 with price talk of Libor plus 275 bps, according to a market source. The term loan has a 1% Libor floor, an original issue discount of 99 7/8 and 101 soft call protection for one year.

Barclays is the lead bank on the $547 million senior secured credit facility that will be used to refinance an existing term loan due October 2017 priced at Libor plus 300 bps with a 1.25% Libor floor, and an existing revolver priced at Libor plus 450 bps with a 1.5% Libor floor.

The company is also looking to amend the excess cash flow sweep step-downs and the definition of excess cash flow sweep, and wants to convert to quarterly from annual cumulative available amount for restricted payments, the source added.

Revolver lenders are being offered a 12.5 bps amendment fee.

Net senior secured leverage is 2.2 times and net total leverage is 5.1 times.

DineEquity, a Glendale, Calif.-based owner of Applebee's Neighborhood Grill & Bar and IHOP Restaurants, is seeking commitments by noon ET on Friday and closing is expected in the week of Jan. 28.

Blackboard releases discount

Blackboard launched its $150 million add-on to its term loan B-2 with original issue discount talk of 991/2, according to a market source, who said pricing matches the existing term B-2 at Libor plus 475 bps with a 1.5% Libor floor.

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

Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and Morgan Stanley Senior Funding Inc. are leading the loan that will be used to refinance existing debt.

Blackboard is a Washington, D.C.-based provider of enterprise software applications and related services to the education industry.

Petco readies call

In more primary happenings, Petco Animal Supplies scheduled a call for 3 p.m. ET on Wednesday to launch a repricing of its $1.2 billion first-lien term loan due Nov. 24, 2017 to Libor plus 300 bps with a 1% Libor floor from Libor plus 325 bps with a 1.25% Libor floor, according to a market source.

Credit Suisse Securities (USA) LLC is leading the loan that is being offered at par and has 101 soft call protection for six months.

Commitments are due on Jan. 30, the source added.

Petco is a San Diego-based specialty retailer of pet food, supplies and services.

TransUnion repricing

TransUnion Corp. will also be holding a call at 3 p.m. ET on Wednesday to launch a repricing, through which it is looking to cut the spread on its roughly $935 million term loan B to Libor plus 300 bps from Libor plus 400 bps, according to a market source.

The repriced loan would continue to have a 1.5% Libor floor and would get 101 soft call protection for one year, the source said.

Deutsche Bank Securities Inc. and Goldman Sachs & Co. are leading the deal.

TransUnion is a Chicago-based provider of information management and risk management services.

J.G. Wentworth coming soon

J.G. Wentworth will hold an investor call on Wednesday to launch a $370 million credit facility that consists of a $20 million 41/2-year revolver and a $350 million five-year term loan, according to a market source.

Lead bank, Jefferies, is seeking commitments by Friday.

Proceeds will refinance existing debt and fund a distribution to shareholders.

J.G. Wentworth is Radnor, Pa.-based purchaser of deferred payments from illiquid financial assets such as structured settlements and fixed annuities.

BWAY closes

In other news, BWAY Corp. completed its acquisition of Ropak Packaging from the Linpac Group for about $265 million, according to a news release.

To help fund the transaction, the company got a $261 million add-on senior secured term loan B (B1) that is priced at Libor plus 325 bps with a 1.25% Libor floor, in line with the existing term loan B as the debt is fungible. The add-on was sold at par after the offer price was tightened from the 99¾ area.

Deutsche Bank Securities Inc., Bank of America Merrill Lynch and Goldman Sachs & Co. led the deal.

Pro forma secured leverage is 3.3 times, total OpCo leverage is 4.2 times, and HoldCo leverage is 5.6 times.

BWAY is an Atlanta-based supplier of general line rigid containers. Ropak is a Fountain Valley, Calif.-based producer of rigid plastic shipping containers.

NeuStar wraps

NeuStar Inc. closed on its $525 million five-year senior secured credit facility (Ba1) that includes a $200 million revolver and a $325 million term loan, according to an 8-K filed with the Securities and Exchange Commission.

Morgan Stanley Senior Funding Inc. and J.P. Morgan Securities LLC acted as the lead arrangers on the deal and bookrunners with RBC Capital Markets.

Pricing on the facility can range from Libor plus 150 bps to 175 bps based on leverage.

Proceeds, along with $300 million of senior notes, were used to refinance existing bank debt.

NeuStar is a Sterling, Va.-based real-time information and analysis provider.

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