SeaWorld revised; EmployBridge wraps; SAIC, Nexstar, Cision, Wynn, Hyland release talk

By Sara Rosenberg

New York, Oct. 10 – In the loan market on Wednesday, SeaWorld Entertainment Inc. tightened the original issue discount on its add-on term loan B-5, and EmployBridge LLC allocated its term loan B repricing transaction in line with initial talk.

Also, Science Applications International Corp. (SAIC), Nexstar Broadcasting Group Inc., Cision (Canyon Cos. Sarl), Wynn Resorts Ltd. and Hyland Software Inc. announced price talk with launch.

SeaWorld tweaks deal

SeaWorld Entertainment changed the original issue discount on its fungible roughly $544 million add-on term loan B-5 (B2) to 99.875 from talk in the range of 99.25 to 99.5, a market source said.

As before, the add-on term loan B-5 is priced at Libor plus 300 basis points with a 0.75% Libor floor and has 101 soft call protection for six months.

J.P. Morgan Securities LLC is leading the deal that will be used to pay down an existing term loan B-2.

In connection with the term loan B-5, the company is seeking an amendment and offering lenders a 12.5 bps consent fee.

SeaWorld is an Orlando, Fla.-based theme park operator.

EmployBridge allocates

EmployBridge allocated its $479 million covenant-light first-lien term loan B (B3/B-) due April 2025, according to a market source.

Pricing on the term loan B is Libor plus 450 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing term loan down from Libor plus 500 bps with a 1% Libor floor.

EmployBridge is an Atlanta-based provider of staffing services.

SAIC reveals guidance

Science Applications held its bank meeting on Wednesday, launching a $1.05 billion seven-year senior secured covenant-light term loan B (BB) at talk of Libor plus 200 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on Oct. 19, the source said.

Citigroup Global Markets Inc., Bank of America Merrill Lynch, MUFG, PNC, SunTrust Robinson Humphrey Inc., U.S. Bank, Wells Fargo Securities LLC, Capital One, SMBC and TD Securities (USA) LLC are leading the deal that will be used to refinance debt in connection with the acquisition of Engility Holdings Inc. for 0.45 Science Applications common shares per Engility share. The transaction is valued at about $2.5 billion, including the repayment of $900 million of Engility’s debt.

Closing is expected on Oct. 31.

Science Applications is a McLean, Va.-based technology integrator providing full life-cycle services and solutions in the technical, engineering and enterprise information technology markets. Engility is a Chantilly, Va.-based provider of integrated services for the U.S. government.

Nexstar details emerge

Nexstar Broadcasting launched on its morning call a $1,657,000,000 covenant-light term loan B (BB+) due July 19, 2024 talked at Libor plus 225 bps with a 0% Libor floor, an original issue discount of 99.875 to par and 101 soft call protection for six months, a market source remarked.

Commitments are due at noon ET on Tuesday, the source added.

Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., SunTrust Robinson Humphrey Inc., Barclays and Wells Fargo Securities LLC are leading the deal that will be used with a term loan A increase to reprice the existing term loan B from Libor plus 250 bps with a 0% Libor floor and to partially pay down the existing term loan B.

Nexstar is an Irving, Texas-based diversified media company.

Cision launches

Cision announced talk on its $974,650,000 covenant-light term loan B due June 2023 and €247.5 million covenant-light term loan B due June 2023 in connection with its morning lender call, according to a market source.

Talk on the U.S. term loan is Libor plus 275 bps to 300 bps, and talk on the euro term loan is Euribor plus 300 bps to 325 bps, the source said. Both loans are talked with a 0% floor, a par issue price and 101 soft call protection for six months.

Commitments are due at noon ET on Oct. 17.

Deutsche Bank Securities Inc. is leading the deal that will be used to reprice existing U.S. and euro term loans.

Cision is a Chicago-based software-as-a-service platform for communications professionals.

Wynn discloses talk

Wynn Resorts released talk of Libor plus 250 bps with a 0% Libor floor and an original issue discount of 99.5 on its $400 million six-year covenant-light term loan B (Ba3/BB-) that launched with an afternoon call, a market source said.

The term loan has a 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on Oct. 18.

Deutsche Bank Securities Inc., Bank of America Merrill Lynch, Fifth Third, J.P. Morgan Securities LLC, SunTrust Robinson Humphrey Inc. and Goldman Sachs Bank USA are leading the deal that will be used for general corporate purposes.

Wynn Resorts is a Las Vegas-based developer, owner and operator of destination casino resorts.

Hyland comes to market

Hyland Software surfaced in the morning with plans to hold a lender call at 1 p.m. ET to launch a fungible $97 million incremental first-lien term loan (B-) due July 1, 2024, an extension of its existing $1,373,000,000 first-lien term loan (B-) and a fungible $275 million incremental second-lien term loan (CCC) due 2025, according to a market source.

The incremental first-lien term loan and extended first-lien term loan due July 1, 2024 are talked at Libor plus 350 bps with a 0.75% Libor floor and 101 soft call protection for six months, and the incremental second-lien term loan is talked at Libor plus 725 bps with a 0.75% Libor floor, an original issue discount of 99.5 and call protection of 102 in year one and 101 in year two, the source said.

Original issue discount talk on the incremental first-lien term loan is 99.75, and a 25 bps extension fee is being offered for the extended first-lien term loan.

In addition, with this transaction, pricing on the company’s existing $285 million second-lien term loan due 2025 will be increased to Libor plus 725 bps with a 0.75% Libor floor from Libor plus 700 bps with a 0.75% Libor floor.

Hyland lead banks

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA and UBS Investment Bank are leading Hyland’s term loans.

Commitments are due on Oct. 24, the source added.

The incremental loans will be used to fund a shareholder distribution and the extension will push out the maturity on the existing first-lien term loan by two years while raising pricing from the current rate of Libor plus 325 bps with a 0.75% Libor floor.

Hyland, a Thoma Bravo portfolio company, is a Westlake, Ohio-based enterprise content-management software developer.

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