Kellermeyer sets first- and second-lien term loan talk with launch

By Sara Rosenberg

New York, Oct. 8 – Kellermeyer Bergensons Services LLC released price talk on its $148 million first-lien term loan and $65 million second-lien term loan with its bank meeting on Wednesday, according to a market source.

The first-lien term loan is talked in the Libor plus 450 basis points area with a 1% Libor floor and an original issue discount of 99˝, and the second-lien term loan is talked in the Libor plus 775 bps area with a 1% Libor floor and a discount of 99, the source said.

Included in the first-lien term loan is 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

The company’s $243 million credit facility also provides for a $30 million revolver.

Commitments are due on Oct. 22, the source added.

BNP Paribas Securities Corp. and CIT are the leads on the deal.

Proceeds will be used to help fund the buyout of the company by GI Partners from Kohlberg & Co. LLC.

Closing is expected in the fourth quarter, subject to regulatory approvals and customary conditions.

Kellermeyer is a provider of integrated facilities management services to retail and grocery chains with headquarters in Oceanside, Calif., and Maumee, Ohio.

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