World Triathlon lifts term loan to $275 million, revises OID to 99.5

By Sara Rosenberg

New York, Aug. 12 – World Triathlon Corp. upsized its seven-year covenant-lite first-lien term loan to $275 million from $265 million and tightened the original issue discount to 99.5 from 99, according to a market source.

Pricing on the term loan remained at Libor plus 425 basis points with a 1% Libor floor, but a 25 bps step-down was added at 3.5x gross first-lien leverage, the source said.

Also, the 101 soft call protection on the term loan was extended to one year from six months and the 50 bps MFN was set for life, revised from having an 18-month sunset.

In addition, the free and clear accordion was changed to the greater of $50 million and 85% of EBITDA from $55 million and 100% and EBITDA, the debt incurrence ratio for junior secured lien was modified to 5.0x from 5.5x, the stock pledge on foreign subsidiaries was increased to 100% from 65%, and the company is now required to hold quarterly lender calls instead of holding calls at the request of the administrative agent, the source continued.

The company’s now $300 million of credit facilities (B2/B), up from $290 million, also include a $25 million revolver.

Deutsche Bank Securities Inc. is the bookrunner on the deal.

Recommitments were scheduled to be due at 1 p.m. ET on Monday, the source added.

Proceeds will be used to refinance an existing revolver and term loan.

World Triathlon is an owner, operator and licenser of participatory events under brands including Ironman and Rock ‘n’ Roll Marathon Series.

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