Cole-Parmer lifts pricing on first- and second-lien term loans

By Sara Rosenberg

New York, Aug. 13 – Cole-Parmer Instrument Co. (CPI Buyer LLC) increased pricing on its $240 million seven-year first-lien covenant-light term loan (B2/B) to Libor plus 450 basis points from Libor plus 375 bps and on its $107 million eight-year second-lien covenant-light term loan (Caa2/CCC+) to Libor plus 750 bps from Libor plus 700 bps, according to a market source.

Also, the original issue discount on the first- and second-lien term loans was changed to 98˝ from 99, the source said.

In addition, the 101 soft call protection on the first-lien term loan was extended to one year from six months, and the MFN sunset was removed.

Both term loans still have a 1% Libor floor, and the second-lien term loan still has call protection of 102 in year one and 101 in year two.

The company’s $367 million credit facility also provides for a $20 million revolver (B2/B).

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

Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are the lead banks on the deal.

Proceeds will be used to help fund the $480 million buyout of the company by GTCR from Thermo Fisher Scientific Inc.

Other funds for the transaction will come from equity.

Closing is subject to regulatory approval and other customary closing conditions.

Cole-Parmer is a Vernon Hills, Ill.-based manufacturer and distributor of specialty laboratory equipment, instruments and supplies.

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