PLZ Aeroscience, ProAmpac break; TierPoint, ViaWest, Acrisure, United Site revise deals

By Sara Rosenberg

New York, Dec. 11 – PLZ Aeroscience Corp.’s add-on term loan made its way into the secondary market on Friday after the deal cleared in syndication at initial terms, and the debt was bid right around its original issue discount.

Also, ProAmpac widened the spread and original issue discount on its add-on first-lien term loan, and then it too began trading.

In more happenings, TierPoint raised pricing on its incremental first-lien term loan, modified the issue price and extended the call protection, ViaWest Inc. downsized its add-on term loan B, increased pricing and sweetened the call premium, and Acrisure LLC and United Site Services upsized their add-on term loans.

PLZ frees up

PLZ Aeroscience’s fungible $155 million add-on term loan (B) began trading during Friday’s market hours, with levels quoted at 99 bid, 99½ offered, according to a trader.

Pricing on the add-on term loan is Libor plus 425 basis points with a 1% Libor floor, in line with existing term loan pricing, and the new debt was sold at an original issue discount of 99. All of the term loan debt is getting 101 soft call protection for six months.

Including the add-on, the term loan will total $470 million.

Antares Capital, NewStar Financial and BMO Capital Markets are leading the new debt that will be used with new equity from the company’s sponsor, Pritzker Group, to finance the acquisition of Apollo Technologies Inc. and one other strategic acquisition.

Closing is targeted for Tuesday.

PLZ is an Addison, Ill.-based manufacturer of specialty aerosol products. Apollo Technologies is a Smyrna, Ga.-based manufacturer and custom filler of specialty aerosol products.

ProAmpac flexes, trades

ProAmpac raised pricing on its $245 million add-on first-lien term loan (B3/B) to Libor plus 475 bps from Libor plus 400 bps and moved the original issue discount to 97.5 from 98, a market source said.

As before, the add-on term loan has a 1% Libor floor.

Due to the change in pricing to the add-on loan, the company’s existing $428 million first-lien term loan is being repriced to Libor plus 475 bps with a 1% Libor floor from Libor plus 400 bps with a 1% Libor floor, the source added.

Once final terms were in place, the add-on loan broke for trading, and levels were quoted at 97½ bid, 98 offered, a trader remarked.

RBC Capital Markets LLC is leading the add-on that will be used to fund an acquisition.

ProAmpac, which was formed earlier this year through the combination of Prolamina Corp. and Ampac Holdings LLC, is a Cincinnati-based flexible packaging company.

TierPoint reworked

Also on the new deal front, TierPoint flexed up pricing on its $220 million incremental first-lien term loan due December 2021 to Libor plus 450 bps from Libor plus 425 bps, changed the original issue discount to 98 from 99 and extended the 101 soft call protection to one year from six months, a source remarked.

The incremental first-lien term loan still has a 1% Libor floor.

The company’s $340 million of incremental bank debt also includes a $30 million add-on revolver and a $90 million incremental second-lien term loan.

The incremental second-lien loan was unchanged at Libor plus 875 bps with a 1% Libor floor, a discount of 98 and call protection of 102 in year one and 101 in year two.

TierPoint lead banks

RBC Capital Markets, Credit Suisse Securities (USA) LLC, Jefferies Finance LLC, TD Securities (USA) LLC and Morgan Stanley Senior Funding Inc. are leading TierPoint’s new bank debt.

Commitments were due at 3 p.m. ET on Friday, the source added.

Proceeds from the loans and equity will be used to fund the acquisition of Windstream’s data center business for $575 million.

TierPoint is a St. Louis-based provider of cloud, colocation and managed services designed to help organizations improve business performance and manage risk.

ViaWest restructures

ViaWest reduced its add-on term loan B to $80 million from $170 million, widened pricing to Libor plus 400 bps from Libor plus 350 bps and extended the 101 soft call protection to one year from six months, according to a market source, who said the 1% Libor floor and original issue discount of 99 were left intact.

Pricing on the existing term loan remains at Libor plus 350 bps with a 1% Libor floor.

RBC, TD Securities and Citigroup Global Markets Inc. are leading the deal, with TD Securities the administrative agent.

Total net leverage is 4.6 times, reduced from 5 times under the original structure, the source remarked.

ViaWest buying INetU

Proceeds from ViaWest’s add-on term loan B will be used to help fund the acquisition of INetU Inc. from BV Investment Partners and other shareholders for $162.5 million.

With the add-on term loan B downsizing, the company is upsizing its revolver by $30 million to $115 million from $85 million, and $50 million of additional equity is being invested by parent company Shaw Communications Inc.

Closing is expected by year’s end, subject to customary conditions.

ViaWest is a Greenwood Village, Colo.-based IT infrastructure solutions company. INetU is an Allentown, Pa.-based customer-centric cloud company.

Acrisure upsizes

Acrisure increased its fungible add-on term loan to $125 million from $100 million and left pricing at Libor plus 550 bps with a 1% Libor floor and an original issue discount of 97, according to a market source.

As before, with the add-on, the company is lifting pricing on its existing term loan to Libor plus 550 bps with a 1% Libor floor from Libor plus 425 bps with a 1% Libor floor, and all of the term loan debt is getting 101 soft call protection for six months.

Commitments were due at 3 p.m. ET on Friday, the source said.

J.P. Morgan Securities LLC is leading the new debt that will be used to fund acquisitions.

Acrisure is a Caledonia, Mich.-based retail insurance brokerage.

United Site tweaks loan

United Site Services raised its fungible add-on term loan to $60 million from $50 million as a result of strong demand, according to a market source.

The add-on loan is priced at Libor plus 475 bps with a 1% Libor floor, which matches existing term loan pricing, and the new debt is offered at an original issue discount of 99.

Recommitments are due on Monday, the source added.

Antares Capital is leading the debt that will be used to fund future add-on acquisitions.

United Site Services is a Westborough, Mass.-based provider of portable sanitation solutions.

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