Ceridian lifts pricing on $680 million term loan B to Libor 325 bps

By Sara Rosenberg

New York, April 4 – Ceridian HCM increased pricing on its $680 million seven-year covenant-light term loan B to Libor plus 325 basis points from talk in the range of Libor plus 275 bps to 300 bps, according to a market source.

Furthermore, a step-down was added to the term loan to Libor plus 300 bps at a B2 corporate rating, the source said.

Currently, the corporate rating is B3.

As before, the term loan has a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

The term loan has a ticking fee of half the spread from days 30 to 90 and the full spread thereafter.

The company’s $980 million of credit facilities (B3/B-) also include a $300 million revolver.

Deutsche Bank Securities Inc. is the left bookrunner on the deal.

Commitments continue to be due at 5 p.m. ET on Thursday, the source added.

Proceeds will be used to refinance existing debt.

Ceridian is a provider of cloud HCM technology and offers a broad range of human resources software and service solutions.

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