ABB Concise, Summit, Genesys, Hamilton Sundstrand, Go Daddy, Par Pharmaceutical, IMS break

By Sara Rosenberg

New York, Feb. 1 - ABB Concise Inc., Summit Materials LLC, Genesys, Hamilton Sundstrand Industrial, Go Daddy Operating Co. LLC, Par Pharmaceutical Cos. Inc. and IMS Health Inc. all made their way into the secondary market on Friday.

Over in the primary, Berry Plastics Corp. revised its incremental term loan, increasing the size, trimming the coupon and tightening the offer price, NRG Energy Inc. reduced the Libor floor on its deal and Del Monte Corp. upsized its loan.

Also, Rite Aid Corp., NBTY Inc., Sabre Inc. and Alliance Laundry Systems LLC set talk with launch, Jason Inc., Westway Group Inc., Scarlett's Pearl Casino Resort, JBS USA LLC and BJ's Wholesale Club Inc. emerged with loan plans, and ACI Worldwide nailed down timing on the launch of incremental debt.

ABB starts trading

ABB Concise' credit facility freed up for trading on Friday, with the $275 million term loan B quoted at par bid, 101 offered, according to a trader.

The term loan B, which had been upsized from $260 million, is priced at Libor plus 425 basis points with a 1.25% Libor floor, and was sold at an original issue discount of 991/2.

The company's $345 million credit facility (B2/B) also includes a $70 million revolver.

Bank of America Merrill Lynch, RBC Capital Markets and GE Capital Markets are leading the deal that will be used to fund the acquisition of Optical Distributor Group and refinance an existing credit facility.

ABB Concise is a Coral Springs, Fla.-based optical distributor, operating as an independent source of marketing and logistics services for eye care professionals, retailers and manufacturers. Optical Distributor Group is a Hawthorne, N.Y.-based distributor of optical products.

Summit revised, breaks

Summit Materials raised its term loan to $425 million from $400 million, lowered pricing to Libor plus 375 bps from Libor plus 400 bps, tightened the offer price to par from 99¾ and revised the 101 soft call protection to six months from one year, according to a market source. The loan still has a 1.25% Libor floor.

With final terms in place, the deal was able to being trading by the afternoon, and levels on the term loan were seen at par 3/8 bid, par 7/8 offered, a trader remarked.

Proceeds from the Bank of America Merrill Lynch and Citigroup Global Markets Inc.-led deal will be used to refinance debt/reprice an existing term loan that is priced at Libor plus 475 bps with a 1.25% Libor floor.

Summit Materials is a Washington, D.C.-based acquirer of heavy-side building materials companies in the aggregates, ready-mix concrete, cement, asphalt paving and construction industries.

Genesys frees up

Genesys' $505 million U.S. term loan broke on Friday, with levels seen at par bid, 101 offered, and its €125 million term loan was quoted at par ½ bid, 101½ offered, a source said.

Pricing on the U.S. loan is Libor plus 300 bps and pricing on the euro loan is Euribor plus 375 bps, with both having a 1% floor and 101 soft call protection for one year, and sold at an original issue discount of 99.

During syndication, the U.S. term loan pricing was cut from talk of Libor plus 350 bps to 375 bps, the euro term loan pricing was revised from talk of 25 bps to 50 bps wide of the U.S. tranche, the euro loan was upsized from €100 million, and the floor on both loans was trimmed from 1.25%.

Goldman Sachs & Co., Citigroup Global Markets Inc., J.P. Morgan Securities LLC and RBC Capital Markets LLC are the lead banks on the deal.

Proceeds will be used to refinance existing debt.

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

Hamilton tops par

Hamilton Sundstrand Industrial's $1.675 billion seven-year covenant-light term loan B broke too, with levels quoted at par ¼ bid, 101 offered, according to a market source.

Pricing on the loan is Libor plus 300 bps with a 1% Libor floor, and it was issued at par.

During syndication, the Libor floor was trimmed from talk of 1.25%.

Proceeds are being used to reprice the existing term loan from Libor plus 375 bps with a 1.25% Libor floor.

Existing lenders are getting paid out at 101.

Deutsche Bank Securities Inc. is the lead bank on the deal.

Hamilton Sundstrand is a Windsor Locks, Conn.-based manufacturer of pumps and compressors for the industrial, infrastructure and energy markets.

Go Daddy frees up

Go Daddy's $740.6 million senior secured covenant-light term loan B-2 due December 2018 also hit the secondary market, with levels quoted at par 1/8 bid, par 5/8 offered, a source said.

The loan is priced at Libor plus 325 bps with a 1% Libor floor and was issued at par. There is 101 soft call protection for six months.

Barclays, Deutsche Bank Securities Inc., RBC Capital Markets LLC, Goldman Sachs & Co. and KKR Capital Markets are the leads on the deal.

Proceeds are being used to refinance the company's existing term loan that is priced at Libor plus 425 bps with a 1.25% Libor floor.

Senior secured leverage is 3.9 times and total leverage is 5.9 times, the source added.

Go Daddy is a Scottsdale, Ariz.-based provider of web hosting and domain names.

Par hits secondary

Par Pharmaceutical's repriced roughly $1 billion term loan began trading, with levels quoted at par 1/8 bid, par 5/8 offered, a trader said.

With the transaction, the company took pricing on the loan down to Libor plus 325 bps with a 1% Libor floor from Libor plus 375 bps with a 1.25% Libor floor.

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

Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Goldman Sachs & Co., RBC Capital Markets LLC, Citigroup Global Markets Inc. and BMO Capital Markets Corp. are the lead banks on the deal.

Par Pharmaceutical is a Woodcliff Lake, N.J.-based specialty pharmaceutical company.

IMS levels emerge

Yet another deal to break was IMS Health's repriced U.S. term loan, with levels quoted at par 1/8 bid, par 5/8 offered, according to a trader.

Pricing on the loan is Libor plus 275 bps with a 1% Libor floor, down from prior pricing of Libor plus 325 bps with a 1.25% Libor floor.

In addition, the company is repricing its euro term loan to Euribor plus 300 bps with a 1.25% floor from Euribor plus 350 bps with a 1.5% floor.

Bank of America Merrill Lynch is the lead bank on the deal.

IMS is a Parsippany, N.J.-based provider of information, services and technology for the health care industry.

Berry modifies loan

Moving to the primary, Berry Plastics upsized its seven-year covenant-light first-lien incremental term loan (B1/B+) to $1.4 billion from $1 billion, cut pricing to Libor plus 250 bps from Libor plus 300 bps and moved the offer price to par from 991/2, according to a market source.

As before, the loan has a 1% Libor floor and 101 repricing protection for one year.

When the deal launched on Tuesday, the corporate credit rating was expected at B3/B, but on Wednesday it was upgraded to B2/B, the source added.

Recommitments were due at 2 p.m. ET on Friday.

Proceeds will redeem second-priority senior secured floating-rate notes due 2014, first-priority senior secured floating-rate notes due 2015 and 10¼% senior subordinated notes due 2016, and, as a result of the upsizing, the company will also repurchase its 8¼% first priority senior secured notes due 2015.

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

Berry is an Evansville, Ind.-based manufacturer and marketer of plastic packaging products.

NRG cuts floor

NRG Energy reduced the Libor floor on its $1.58 billion term loan repricing proposal to 0.75% from 1%, while keeping pricing at Libor plus 250 bps and leaving the 101 soft call protection for one year intact, according to a market source.

Through the repricing, the company is taking the spread on the loan down from Libor plus 300 bps and the floor down from 1%.

Commitments were due at the end of the day on Friday.

Citigroup Global Markets Inc. is the lead bank on the deal.

NRG Energy is a wholesale power generation company with headquarters in Princeton, N.J., and Houston.

Del Monte ups loan

Del Monte increased its term loan B by $100 million to roughly $2.7 billion from roughly $2.6 billion, according to a market source.

Pricing on the loan remained at Libor plus 300 basis points with a 1% Libor floor and a par offer price, and there is still 101 soft call protection for six months.

Recommitments were due by 3 p.m. ET on Friday.

J.P. Morgan Securities LLC is the lead bank on the deal.

Proceeds will be used to amend and refinance an existing roughly $2.6 billion term loan B, and the funds from the upsizing will be used as cash added to the balance sheet, the source added.

Del Monte is a San Francisco-based producer, distributor and marketer of pet products and food products.

Rite Aid launches

In more primary happenings, Rite Aid held a call on Friday morning to launch a $3.095 billion credit facility that will be used to refinance an existing $1.04 billion term loan-2 due 2014 and fund cash tender offers for $410 million of 9¾% senior secured notes due 2016, $470 million of 10 3/8% senior secured notes due 2016 and $180.3 million of 6 7/8% senior debentures due 2013.

The facility includes a $1.725 billion five-year ABL revolver priced at Libor plus 225 basis points to 275 bps based on excess availability, a source said. Commitments for $1.5 billion of this tranche have already been received by the company.

Also, there is a $900 million seven-year first-lien term loan that is talked at Libor plus 325 bps with a 1.25% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months

And, there is a $470 million 71/2-year second-lien term loan talked at Libor plus 500 bps with a 1.25% Libor floor, a discount of 99 and hard call protection of 103 in year one, 102 in year two and 101 in year three, the market source continued.

Rite Aid lead banks

Wells Fargo Securities LLC, Citigroup Global Markets Inc., Bank of America Merrill Lynch, GE Capital Markets, Goldman Sachs & Co. and Morgan Stanley Senior Funding Inc. are the bookrunners on Rite Aid's credit facility. Wells Fargo is the left lead on the revolver and first-lien term loan, and Citigroup the left lead on the second-lien term loan as well as the administrative agent on the entire deal.

Commitments for the terms loans are due on Feb. 8 and revolver commitments are due on Feb. 15, the source added.

The tender offers for the notes expire on Feb. 28.

Rite Aid is a Camp Hill, Pa.-based drugstore chain.

NBTY reveals talk

NBTY held its lender call, launching its $1.508 billion covenant-light senior secured term loan (Ba3/BB-) due Oct. 1, 2017 with talk of Libor plus 250 bps to 275 bps with a 1% Libor floor, a par offer price and 101 soft call protection through Oct. 11, 2013, a source said.

Proceeds will refinance an existing term loan priced at Libor plus 325 bps with a 1% Libor floor.

Commitments are due at 5 p.m. ET on Thursday, the source continued.

Barclays, Bank of America Merrill Lynch and Credit Suisse Securities (USA) LLC are the lead banks on the deal.

NBTY, a Ronkonkoma, N.Y.-based manufacturer, marketer, distributor and retailer of vitamins and nutritional supplements, has net senior secured leverage of 2.6 times, net total OpCo leverage of 3.7 times and net HoldCo leverage of 4.6 times.

Sabre holds call

Sabre also hosted a call on Friday, launching a $2.552 billion credit facility (B) that is being led by Bank of America Merrill Lynch, Deutsche Bank Securities Inc, Goldman Sachs & Co., Morgan Stanley Senior Funding Inc., Barclays and Natixis, according to a market source.

The facility consists of a $352 million five-year revolver talked at Libor plus 375 bps, a $1.95 billion six-year term loan B talked at Libor plus 375 bps with a 1.25% Libor floor and an original issue discount of 991/2, and a $250 million five-year term loan C talked at Libor plus 300 bps with a 1% Libor floor and a discount of 993/4, the source said.

The term loan B has 101 soft call protection for one year and the term loan C has 101 soft call protection for six months.

Sabre, a Southlake, Texas-based online travel company, is seeking commitments from lenders by Feb. 8, the source added.

Proceeds will be used to refinance existing debt.

Alliance Laundry guidance

Alliance Laundry Systems launched its $375 million first-lien term loan repricing on Friday with talk of Libor plus 325 bps with a step-down to Libor plus 300 bps when leverage is less than 4¾ times, a 1.25% Libor floor, a par offer price and 101 soft call protection for six months, according to a market source.

The repricing is taking the term loan down from Libor plus 425 bps with a step-down to Libor plus 400 bps at 4¾ times leverage and a 1.25% Libor floor.

Bank of America Merrill Lynch, BMO Capital Markets Corp., Morgan Stanley Senior Funding Inc. and Scotia Capital (USA) Inc. are leading the deal.

Commitments are due on Feb. 8, the source said.

Alliance Laundry is a Ripon, Mass.-based designer, manufacturer and marketer of commercial laundry equipment used in laundromats, multi-housing laundries and on-premise laundries.

Jason joins calendar

Jason surfaced with plans to hold a bank meeting on Tuesday to launch a $260 million credit facility that is being led by GE Capital Markets, according to a market source.

The facility consists of a $35 million five-year revolver and a $225 million six-year term loan, the source said, adding that price talk is not yet available.

Expected corporate ratings are B1/B+.

Proceeds will be used to refinance existing debt and fund a dividend.

Jason is a Milwaukee-based manufacturing company involved in the seating, finishing, components and automotive acoustics markets.

Westway coming soon

Westway Group scheduled a bank meeting for Wednesday to launch a $300 million credit facility that consists of a $30 million revolver and a $270 million term loan, according to a market source.

RBC Capital Markets is leading the deal.

Proceeds will back the company's already completed purchase by EQT Infrastructure II for $6.70 per share.

Westway is a New Orleans-based provider of storage and related services to owners of bulk liquid products.

Scarlett's plans loan

Scarlett's Pearl Casino Resort will host a bank meeting at 9 a.m. ET on Tuesday to launch a $172.5 senior secured credit facility that will be used to help fund its construction in D'lberville, Miss., according to a market source.

The Jefferies & Co.-led facility consists of a $10 million priority revolver and a $162.5 million term loan B, the source said.

Cash equity will total 36.1% of the overall transaction.

JBS readies deal

JBS USA set a lender call for 2 p.m. ET on Monday to launch a roughly $468 million term loan B due May 2018 that will be used to refinance the existing B loan, according to a market source.

J.P. Morgan Securities LLC is leading the transaction.

JBS is a Greeley, Colo.-based processor of beef, pork and lamb.

BJ's on deck

BJ's Wholesale Club Inc. will hold a lender call on Monday to launch a repricing of its $1.3 billion first-lien term loan, according to a market source.

Current pricing on the loan is Libor plus 450 bps with a 1.25% Libor floor,

Deutsche Bank Securities Inc. is the lead bank on the deal.

BJ's is a Westborough, Mass.-based operator of warehouse clubs.

ACI firms timing

ACI Worldwide set a bank meeting for Wednesday to launch its previously announced $300 million incremental term loan due Nov. 10, 2016, according to a market source.

Pricing on the loan is expected to be able to range from Libor plus 150 basis points to 250 bps based on leverage, the company said in a recent filing with the Securities and Exchange Commission.

Wells Fargo Securities LLC is leading the loan that will be used to fund the purchase of Online Resources for $3.85 per share, or about $263 million.

Pro forma net leverage will be below 2.7 times, including cost synergies.

Closing is expected this quarter, subject to customary regulatory approvals and the tender of a majority of Online Resources shares outstanding.

ACI is a Naples, Fla.-based provider of payment systems. Online Resources is a Chantilly, Va.-based provider of online banking and full-service bill pay services.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.