RedPrairie retreats with earnings; Creganna-Tactx accelerates deadline; Great Wolf Resorts revised

By Sara Rosenberg

New York, Nov. 17 – RedPrairie Corp. saw its first- and second-lien term loans slide lower in the secondary market on Monday as lenders were disappointed with the company’s third-quarter earnings results.

Moving to the primary, Creganna-Tactx Medical moved up the commitment deadline on its credit facility, and Great Wolf Resorts Holdings Inc. lifted the size of its first-lien term loan and widened pricing while also cancelling its planned second-lien term loan.

Additionally, on the primary front, Survey Sampling International LLC, Sonneborn LLC and Equinox Holdings Inc. joined this week’s calendar.

RedPrairie softens

RedPrairie’s term loans weakened in trading on Monday in reaction to privately released third-quarter results, according to a trader.

The first-lien term loan was quoted at 92 bid, 93 offered, down from 93 bid, 95 offered, and the second-lien term loan was quoted at 87½ bid, 89½ offered, down from 88 bid, 90½ offered, the trader said.

RedPrairie is an Alpharetta, Ga.-based provider of supply chain software services.

Creganna tweaks deadline

Switching to the primary, Creganna-Tactx Medical accelerated the commitment deadline on its $300 million credit facility to Tuesday from Thursday, a market source remarked.

The facility consists of a $25 million revolver (B1/B), a $185 million first-lien term loan (B1/B) and a $90 million second-lien term loan (Caa1/CCC+).

The first-lien term loan is talked at Libor plus 450 basis points to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, and the second-lien term loan is talked at Libor plus 825 bps to 850 bps with a 1% Libor floor, a discount of 98½ and call protection of 102 in year one and 101 in year two.

RBC Capital Markets, Morgan Stanley Senior Funding Inc., Bank of Ireland and Societe Generale are leading the deal.

Creganna funding acquisition

Proceeds from Creganna-Tactx Medical’s credit facility will be used to help finance the purchase of Precision Wire Components LLC from the Riverside Co., and the combined company will be known as Creganna Medical.

First-lien leverage is 3.4 times, total leverage is 5.1 times and equity is more than 40% of the capitalization.

Closing is expected in early December, subject to regulatory approvals and other customary conditions.

Creganna-Tactx is a Galway, Ireland-based provider of medical device outsourcing services. Precision Wire is a Tualatin, Ore.-based producer of medical wires.

Great Wolf reworked

Great Wolf Resorts increased its fungible add-on first-lien covenant-light term loan due Aug. 6, 2020 to $214 million from $150 million and lifted pricing to Libor plus 475 bps from talk of Libor plus 425 bps to 450 bps, according to a market source.

The add-on first-lien term loan continues to have a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year.

Meanwhile, the company’s $120 million seven-year second-lien covenant-light term loan was eliminated from the capital structure.

Talk on the second-lien term loan had been Libor plus 800 bps to 825 bps with a 1% Libor floor, a discount of 98½ to 99, and call protection of 102 in year one and 101 in year two with a one-year initial public offering claw for the entire tranche at 101.

Great Wolf leads

Deutsche Bank Securities Inc., Barclays, Goldman Sachs Bank USA and Apollo are leading Great Wolf’s add-on term loan that will be used to refinance existing debt and pay a dividend.

The change in the amount of term loan debt being raised resulted in the dividend payment being reduced to $150 million from $200 million, the source added.

With the add-on, pricing on the existing first-lien term loan is moving to Libor plus 475 bps with a 1% Libor floor from Libor plus 325 bps with a 1% Libor floor. Also, the existing loan is getting 101 soft call protection for one year and lenders are receiving a 25 bps amendment fee.

Including the add-on, the first-lien term loan will have a total size of about $529 million.

Allocations are targeted to go out on Tuesday.

Great Wolf is a Madison, Wis.-based indoor water park resort operator.

Survey Sampling on deck

Also in the primary, Survey Sampling International set a bank meeting for Tuesday morning to launch a $337 million credit facility, according to a market source.

The facility consists of a $25 million revolver, a $208 million first-lien term loan B and a $104 million second-lien term loan, the source said.

GE Capital Markets is leading the deal that will be used to help fund the buyout of the company by HGGC from Providence Equity Partners and Sterling Investment Partners, who have jointly owned the company since 2011 and are retaining minority stakes in the business.

Survey Sampling is a Shelton, Conn.-based provider of data services and technology for consumer and business-to-business research.

Sonneborn coming soon

Sonneborn surfaced with plans to hold a conference call at 10 a.m. ET on Wednesday to launch a $280 million six-year first-lien term loan, a market source remarked.

Macquarie Capital (USA) Inc. is leading the deal that will be used to refinance existing debt and fund a distribution to the sponsor, One Equity Partners.

Sonneborn is a Parsippany, N.J.-based manufacturer and supplier of high-purity specialty hydrocarbons.

Equinox plans call

Equinox scheduled a call for credit facility lenders for 1 p.m. ET on Tuesday, according to a market source, who said details of the purpose of the call are not yet out.

Equinox is a New York-based exercise and fitness company.

Panda Stonewall closes

In other news, Panda Stonewall completed the financing to help fund construction of the Panda Stonewall Power Project, a clean natural gas-fueled 778-megawatt combined-cycle generating station in Loudoun County, Va., a news release said.

The debt includes a $300 million funded term loan and a $200 million delayed-draw term loan.

Pricing on the term loans is Libor plus 550 bps with a 1% Libor floor and they were sold at an original issue discount of 99. The loans are non-callable for 2½ years, then at 102 for a year and 101 for the following year, and the delayed-draw term loan, which has a one-year delayed-draw period and will be funded in a single draw, has a 300 bps ticking fee.

During syndication, the funded term loan was downsized from $325 million, the delayed-draw term loan was upsized from $150 million and pricing on the loans was reduced from Libor plus 600 bps.

Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, ICBC, Investec and MUFG led the deal.

Panda Stonewall is owned by Panda Power Funds, and partners in the project include Bechtel Development and Green Energy Partners/Stonewall.

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