Orion Engineered modifies $289 million term loan price to par

By Sara Rosenberg

New York, Oct. 20 – Orion Engineered Carbons tightened the issue price on its $289 million first-lien senior secured term loan B due July 25, 2024 to par from 99.75, according to a market source.

Pricing on the term loan is still Libor plus 250 basis points with a 0% Libor floor.

Also, the company lowered pricing on its €331 million first-lien senior secured term loan B due July 25, 2024 to Euribor plus 250 bps from Euribor plus 275 bps and revised original issue discount talk to a range of 99.75 to 99.875 from just 99.75, the source said.

As before, both loans have a 0% floor, 101 soft call protection for six months and amortization of 1% per annum.

Goldman Sachs Bank USA is the bookrunner on the deal, and mandated lead arrangers are Citizens Bank, Goldman Sachs, ING Bank and Mediobanca International (Luxembourg) SA.

Recommitments for the U.S. loan were scheduled to be due at close of business on Friday, and recommitments for the euro loan are due at 9 a.m. ET on Monday, the source added.

Proceeds will be used to refinance an existing U.S. term loan due July 2021 that is priced at Libor plus 250 bps with a 0% Libor floor and an existing euro term loan due July 2021 that is priced at Euribor plus 275 bps with a 0% floor.

Orion Engineered Carbons is a Frankfurt-based producer of carbon black.

© 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.