Zayo, Curium term loans free to trade; Refresco revised; Polyconcept, TerraForm talk emerges

By Sara Rosenberg

New York, April 29 – Zayo Group Holdings Inc. and Curium BidCo Sarl finalized the original issue discounts on their term loans at the wide end of guidance, and then both of these deals broke for trading on Friday.

In more happenings, Refresco Group BV modified original issue discount talk on its euro term loan and accelerated commitment deadlines for all of its term loans.

Also, Polyconcept and TerraForm Power Operating LLC released price talk with launch, and Lightstone Holdco LLC joined the near-term primary calendar.

Zayo updated, trades

Zayo Group set the original issue discount on its non-fungible $750 million incremental sustainability-linked first-lien term loan (B2) due March 2027 at 97.5, the wide end of the 97.5 to 98 talk, according to a market source.

The incremental term loan is priced at SOFR plus 425 basis points with a 0.5% floor and has 101 soft call protection for six months.

On Friday, the term loan freed to trade, with levels quoted at 97½ bid, 98 offered, the source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used for general corporate purposes, including paying down revolver borrowings and adding cash to the balance sheet for growth initiatives, such as the acquisition of Education Networks of America, a Nashville-based provider of managed network connectivity and security services to E-Rate-funded school districts and other public sector customers.

Zayo is a Boulder, Colo.-based provider of bandwidth infrastructure.

Curium finalized, breaks

Curium BidCo firmed the original issue discount on its fungible $335 million add-on first-lien term loan (B) due December 2027 at 98.75, the wide end of the 98.75 to 99 talk, a market source remarked.

Pricing on the add-on term loan is Libor plus 425 bps with a 0.75% Libor floor.

During the session, the add-on term loan began trading, with levels quoted at 98¾ bid, 99¼ offered, another source added.

JPMorgan Chase Bank is leading the deal that will be used to refinance an existing second-lien term loan, for general corporate purposes and/or for working capital requirements.

Curium is a nuclear medicine company with headquarters in London and Paris.

Refresco tweaked

Refresco changed original issue discount talk on its €1.53 billion euro term loan B to a range of 98.5 to 99 from a range of 98 to 98.5, and left price talk at Euribor plus 450 bps with two 25 bps leverage-based step-downs and a 25 bps step-down upon an initial public offering, and a 0% floor, a market source said.

Talk on the €1.53 billion equivalent U.S. term loan B remained at SOFR plus 425 bps to 450 bps with a 25 bps leverage-based step-down and a 25 bps step-down upon an IPO, a 0.5% floor and a discount of 98 to 98.5, and talk on the €340 million equivalent pound-denominated term loan B remained at Sonia plus 525 bps with two 25 bps leverage-based step-downs and a 25 bps step-down upon an IPO, a 0% floor and a discount of 98 to 98.5.

As before, the €3.4 billion equivalent of term loans (B2/B+) include 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on Tuesday for the U.S. loan, accelerated from 5 p.m. ET on Wednesday, and at 5 a.m. ET on Wednesday for the euro and pound loans, accelerated from noon ET on Wednesday, the source added.

Refresco lead banks

Goldman Sachs, JPMorgan Chase Bank and KKR Capital Markets are the joint physical bookrunners on Refresco’s term loans, with Goldman left on the U.S. loan and JPMorgan left on the euro and pound loans. Credit Suisse, Natwest, BofA Securities Inc., Morgan Stanley Senior Funding Inc., Mizuho, MUFG, ABN Amro, Credit Agricole, Unicredit, Rabobank, ING, BNP Paribas Securities Corp. and SMBC are joint bookrunners. JPMorgan is the administrative agent.

The new debt will be used to help fund KKR’s acquisition of a majority stake in the company. Refresco’s existing investors, PAI Partners and British Columbia Investment Management Corp., will maintain a significant minority position.

Refresco is a Rotterdam, the Netherlands-based beverage producer.

Polyconcept guidance

Polyconcept held its lender call on Friday morning and announced talk on its $800 million seven-year covenant-lite term loan B at SOFR plus 525 bps to 550 bps with a 0.5% floor, an original issue discount of 98 and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on May 12, the source added.

The company is also getting a $125 million five-year ABL revolver.

KKR Capital Markets, Barclays, Jefferies LLC, RBC Capital Markets, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., PNC and Stifel are leading the deal that will be used to refinance existing loans.

Polyconcept is a New Kensington, Pa.-based supplier of promotional products.

TerraForm sets talk

TerraForm came out with talk of SOFR+10 bps CSA plus 275 bps to 300 bps with a 0.5% floor, an original issue discount of 98.5 and 101 soft call protection for six months on its $500 million seven-year first-lien green term loan (BB+/BB+) that launched with a call in the morning, a market source remarked.

Commitments are due at noon ET on May 12, the source added.

RBC Capital Markets, Barclays and Wells Fargo Securities LLC are leading the deal, which will be used to refinance existing debt.

Brookfield Asset Management is the sponsor.

TerraForm is a New York-based owner and operator of a renewable power portfolio including solar and wind assets.

Lightstone readies deal

Lightstone Holdco set a lender call for 1:30 p.m. ET on Monday to launch about $1.734 billion of amended and extended senior secured term loans, according to a market source.

The debt consists of a roughly $1.641 billion amended and extended term loan B due Jan. 30, 2027 and a roughly $93 million amended and extended term loan C due Jan. 30, 2027, with hard call protection of 103 in year one, 102 in year two and 101 in year three, the source said.

Jefferies LLC is leading the deal.

The proposed amendment and extension of the company’s existing term loan B and term loan C has received consent from the adhoc lender group representing over 80% of the outstanding loans. The extension is subject to a minimum participation threshold of 90%.

The company is offering to pay down $100 million of both the term loan B and the term loan C at par on a pro rata basis for existing lenders only, the source added.

Lightstone, a 50/50 joint venture owned by affiliates of Blackstone Group LP and ArcLight Capital Partners LLC, consists of a 5.3 GW portfolio of four generation facilities located in the PJM Interconnection market.

© 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.