Omnitracs shifts funds between first- and second-lien term loans

By Sara Rosenberg

New York, Sept. 23 – Omnitracs LLC upsized its non-fungible incremental covenant-lite first-lien term loan due March 2025 to $175 million from $160 million and downsized its eight-year covenant-lite second-lien term loan to $180 million from $195 million, according to a market source.

In addition, pricing on the first-lien term loan was set at Libor plus 425 basis points, the low end of the Libor plus 425 bps to 450 bps talk, and pricing on the second-lien term loan firmed at Libor plus 800 bps, the tight end of the Libor plus 800 bps to 825 bps talk, the source said.

Also, the original issue discount on the first-lien term loan was changed to 99 from 98.5.

The first-lien term loan still has a 0% Libor floor and 101 soft call protection for six months, and the second-lien term loan still has a 0% Libor floor, a discount of 98 and hard call protection of 102 in year one and 101 in year two.

Barclays, Credit Suisse Securities (USA) LLC, Macquarie Capital (USA) Inc. and Guggenheim are the bookrunners on the deal, with Barclays the left lead on the first-lien loan and Credit Suisse the left lead on the second-lien loan.

Proceeds will be used with cash on hand to fund the acquisition of SmartDrive Systems Inc., a San Diego-based provider of video-based safety and transportation intelligence.

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

Omnitracs is a Dallas-based provider of SaaS-based fleet management and data analytics solutions.

© 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.