BWAY, Terex, National Veterinary break; Albertson’s, International Market, Bowlmor revised

By Sara Rosenberg

New York, Aug. 8 – BWAY Holding Co. increased the size of its term loan B while widening the spread and original issue discount and then freed up for trading on Friday, and Terex Corp. and National Veterinary Associates (NVA Holdings Inc.) made their way into the secondary market, too.

In more loan happenings, Albertson’s Holdings LLC (Safeway Acquisition Merger Sub Inc.) moved some funds between its term loans, set spreads at the high end of revised talk, modified offer prices and sweetened call premiums.

Also, International Market Centers LP (IMC OP LP) raised pricing on its term loans and updated offer prices, and Bowlmor AMF Corp. lifted the spread on its term loan, reworked the original issue discount and extended the call protection.

In addition, HCP Global Ltd. and QSR (QSRH Borrowing Co. Pty. Ltd. and US Finco LLC) withdrew their credit facilities from market, and Media General Inc. launched an add-on term loan.

BWAY tweaks loan, trades

BWAY upsized its six-year term loan B to $1.22 billion from $1.1 billion, increased pricing to Libor plus 450 basis points from Libor plus 425 bps and modified the original issue discount to 99 from 99½, according to a market source.

The term loan B still has a 1% Libor floor and 101 soft call protection for one year.

With final terms in place, the loan broke for trading on Friday, with levels seen at 99¼ bid, 99 5/8 offered on the open and then it moved up to 99½ bid, 99 7/8 offered, a trader remarked.

Bank of America Merrill Lynch is leading the deal that will be used with $650 million of senior notes, downsized from $770 million, to repay an existing term loan, to redeem opco notes, parent company notes and intermediate notes, and to pay a special $200 million dividend to shareholders.

BWAY is an Atlanta-based supplier of general line rigid containers.

Terex frees up

Terex’s credit facility began trading as well, with the $230 million seven-year first-lien covenant-light term loan quoted at 99¾ bid, par ¼ offered, according to a trader.

Pricing on the U.S. term loan is Libor plus 275 bps with a 0.75% Libor floor and it was sold at an original issue discount of 99¾. There is 101 soft call protection for six months.

The company’s $1.1 billion credit facility (Ba1/BBB-) also includes a $600 million revolver, and a €200 million seven-year first-lien covenant-light term loan priced at Euribor plus 325 bps with a 0.75% floor and sold at a discount of 99¾. The euro term loan has 101 soft call protection for six months as well.

Recently, the offer price on both term loan tranches firmed at the tight end of the 99½ to 99¾ talk.

Credit Suisse Securities (USA) LLC, Commerz, Goldman Sachs Bank USA and RBS Securities Inc. are leading the deal that will be used to refinance existing debt.

Terex is a Westport, Conn.-based diversified equipment manufacturer.

National Veterinary breaks

National Veterinary Associates’ credit facility also hit the secondary, with the $345 million first-lien term loan (B1/B) quoted at 99¾ bid, par ¼ offered and the $160 million second-lien term loan (Caa2/CCC+) quoted at 99¾ bid, a trader said.

Pricing on the first-lien term loan is Libor plus 375 bps with a 1% Libor floor and it was sold at an original issue discount of 99½. There is 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 700 bps with a 1% Libor floor and was sold at a discount of 99½. This debt has call protection of 102 in year one and 101 in year two.

During syndication, the first-lien term loan was upsized from $330 million and the discount on the second-lien term loan firmed at the tight end of the 99 to 99½ talk.

National Veterinary buyout

Proceeds from National Veterinary’s $575 million senior secured credit facility, which also includes a $70 million revolver (B1/B), will be used to help fund the purchase of the company by Ares Management LP from Summit Partners.

Bank of America Merrill Lynch, Jefferies Finance LLC and Nomura are leading the deal.

Closing is expected in the third quarter, subject to customary conditions.

National Veterinary Associates is an Agoura Hills, Calif.-based owner of independent freestanding veterinary hospitals.

Albertson’s reworked

Back in the primary, Albertson’s reduced its five-year first-lien covenant-light term loan B-3 to $950 million from $1,519,000,000, set pricing at Libor plus 400 bps, the wide end of revised talk of Libor plus 375 bps to 400 bps and up from initial talk of Libor plus 325 bps, and widened the original issue discount to 98½ from revised talk of 99 and initial talk of 99½, according to a market source.

Additionally, the seven-year first-lien covenant-light term loan B-4 was increased to $3,609,000,000 from $3.04 billion, pricing settled at Libor plus 450 bps, the high end of revised talk of Libor plus 425 bps to 450 bps and up from original talk of Libor plus 375 bps, and the discount was modified to 98½ from 99, the source said.

Also, the 101 soft call protection on the term loans was extended to one year from six months.

The 1% Libor floor and ticking fee of the full spread starting on day 31 on both term loans was unchanged.

Albertson’s lead banks

Credit Suisse Securities (USA) LLC, Bank of America Merrill Lynch, Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc., Barclays, Deutsche Bank Securities Inc., PNC Capital Markets LLC, US Bank and SunTrust Robinson Humphrey Inc. are leading Albertson’s $4,559,000,000 of term loans (Ba3/BB-).

Recommitments were due at 1 p.m. ET on Friday, the source added.

Proceeds will be used to fund the acquisition of Safeway Inc., which is subject to customary conditions, including approval by Safeway shareholders and regulatory approvals.

Albertson’s is a Spokane, Wash.-based supermarket chain. Safeway is a Pleasanton, Calif.-based food and drug retailer.

International Market flexes

International Market Centers lifted pricing on its $405 million six-year first-lien term loan (B1/BB-) to Libor plus 425 bps from Libor plus 350 bps, firmed the original issue discount at 99, the wide end of the 99 to 99½ talk, and extended the 101 soft call protection to one year from six months, a market source said.

Also, pricing on the $125 million seven-year second-lien term loan (B2/B-) was changed to Libor plus 775 bps from talk of Libor plus 675 bps to 700 bps, and the discount moved to 98½ from 99, the source continued.

Furthermore, the MFN sunset was removed and the free and clear incremental basket was eliminated.

As before, the first-lien term loan has a 25 bps pricing step-down when total net leverage is less than 4.75 and a 1% Libor floor, and the second-lien term loan has a 1% Libor floor and hard call protection of 102 in year one and 101 in year two with a special IPO equity claw for 100% of the tranche at 101 in year one.

International Market revolver

Along with the term loans, International Market Center’s $580 million credit facility includes a $50 million revolver (B1/BB-).

Recommitments are due at 5 p.m. ET on Monday, the source added.

J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. are leading the deal, with JPMorgan left lead on the first-lien and Deutsche Bank left lead on the second-lien.

Proceeds will be used to refinance existing mortgage debt and for general corporate purposes.

International Market Centers is an owner and operator of showroom space for the home furniture, home décor and gift industries.

Bowlmor revisions emerge

Bowlmor AMF raised the spread on its $400 million seven-year first-lien term loan to Libor plus 625 bps from talk of Libor plus 525 bps to 550 bps, moved the original issue discount to 98½ from 99 and extended the 101 soft call protection to two years from one year, according to a market source.

As before, the term still has a 1% Libor floor.

The company’s $430 million credit facility (B) also includes a $30 million revolver.

Recommitments were due at noon ET on Friday, the source added.

Credit Suisse Securities (USA) LLC is leading the deal that will be used with a sale-leaseback on a significant pool of real estate to fund the acquisition of Brunswick Corp.’s bowling business for $270 million and to refinance existing debt.

Bowlmor AMF is a New York City-based operator of bowling centers.

HCP Global pulled

HCP Global withdrew its $380 million senior secured credit facility as a result of poor primary market conditions, a market source said.

The facility consisted of a $50 million five-year revolver (B2/B), a $230 million seven-year first-lien covenant-light term loan (B2/B) talked at Libor plus 375 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, and a $100 million eight-year second-lien covenant-light term loan (B3/CCC+) talked at Libor plus 725 bps to 750 bps with a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two.

Citigroup Global Markets Inc., Bank of America Merrill Lynch and BNP Paribas Securities Corp. were leading the deal that was going to be used to refinance existing debt and fund a distribution to the sponsor, TPG.

HCP Global is a Shanghai-based global packaging company for the cosmetics industry.

QSR withdrawn

QSR also pulled its credit facility from market due to unfavorable conditions, according to a market source.

The facility consisted of a $185 million seven-year first-lien term loan (B+) talked at Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, a $55 million 7½-year second-lien term loan (B-) talked at Libor plus 800 bps with a 1% Libor floor, a discount of 98½ and call protection of 102 in year one and 101 in year two, and a A$10 million revolver.

Credit Suisse Securities (USA) LLC and Morgan Stanley Senior Funding Inc. were leading the deal that was going to be used to refinance existing debt.

QSR is a franchisor and operator of quick service restaurants in Australia.

Media General holds call

Also in the primary, Media General hosted a call at 10 a.m. ET on Friday, launching a fungible $75 million add-on term loan with talk of Libor plus 325 bps with a 1% Libor floor and an original issue discount of 99½, a market source remarked.

Commitments are due on Aug. 15, the source added.

RBC Capital Markets is the leading the deal that will be used to help fund the $83.4 million acquisition of WHTM TV, an ABC affiliate in Harrisburg, Pa., currently owned by Allbritton Communications.

Media General is a Richmond, Va.-based local television broadcasting and digital media company.

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