Prestige, Hyland, W&T Offshore break; Chemours, J. Jill, eResearch, Quintiles reworked

By Sara Rosenberg

New York, May 5 – Prestige Brands Inc.’s term loan B-3 made its way into the secondary market on Tuesday, with levels quoted above par, and Hyland Software Inc. and W&T Offshore Inc. freed up for trading as well.

Moving to the primary market, Chemours Co. reduced pricing, modified the issue price and sweetened the call premium on its term loan B, and J. Jill set the spread on its term loan B at the low end of talk, tightened the original issue discount and shortened the call protection.

Also, eResearchTechnology Inc. increased the size of its term loan B, finalized pricing at the tight end of guidance and adjusted the issue price, and Quintiles Transnational Corp. upsized its term loans and trimmed pricing on the term B.

In addition, Physio-Control International Inc., TouchTunes Interactive Networks Inc., Blackhawk Mining, Horizon Global Corp., TransDigm Inc., Salient Partners LP and Ranpak Corp. released price talk on their loan transactions.

Furthermore, Physiotherapy Associates, Infiltrator Systems Integrated LLC, Accuvant Inc./FishNet Security Inc., Presidio Inc. and Energizer SpinCo Inc. joined this week’s calendar.

Prestige Brands frees up

Prestige Brands’ $852.5 million term loan B-3 (B1/BB) due Sept. 3, 2021 broke for trading on Tuesday, with levels quoted at 100 1/8 bid, 100 5/8 offered, according to a trader.

Pricing on the B-3 loan is Libor plus 275 basis points with a 0.75% Libor floor, and it was sold at an original issue discount of 99.75. There is 101 soft call protection for six months.

Last week, the spread on the term loan firmed at the low end of the Libor plus 275 bps to 300 bps talk and the discount finalized at the wide end of the 99.75 to par talk.

Barclays and Citigroup Global Markets Inc. are leading the deal that will amend and reprice the company’s existing $217.5 million term loan B-1 due Jan. 31, 2019 and $660 million term loan B-2 due Sept. 3, 2021.

Closing is targeted for May 8.

Prestige Brands is a Tarrytown, N.Y.-based provider of over-the-counter health care and household consumer products.

Hyland tops OID

Hyland Software’s $130 million tack-on first-lien covenant-light term loan (B2/B) due February 2021 hit the secondary market too, with levels seen at 100½ bid, 101 offered, a trader said.

Pricing on the tack-on loan is Libor plus 375 bps with a 1% Libor floor, in line with existing first-lien term loan pricing, and it was sold at an original issue discount of 99.5. All of the first-lien term loan debt is getting 101 soft call protection for six months.

During syndication, the tack-on term loan was upsized from $100 million.

Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are leading the deal that will be used to fund a distribution to shareholders.

Hyland is a Westlake, Ohio-based enterprise content-management software developer.

W&T Offshore breaks

W&T Offshore’s $300 million five-year second-lien term loan (B+) also freed up for trading, with levels seen at 101 bid, 102 offered, according to a trader.

The loan is priced at a fixed rate of 9%, and was sold at an original issue discount of 99, for a yield of 9.25%.

Also, the loan is non-callable for two years, and the first call is at 50% coupon, there is a 101 investor put at a change-of-control, and if more than $50 million of W&T Offshore’s 2019 senior notes remain outstanding 30 days prior the maturity of the second-lien loan, the company is required to make an offer to purchase the loan.

Morgan Stanley Senior Funding Inc., TD Securities (USA) LLC, Wells Fargo Securities LLC, Scotiabank, Natixis, Citigroup Global Markets Inc. and Goldman Sachs Bank USA are leading the deal that will be used to repay a reserve-based facility.

W&T Offshore is a Houston-based oil and natural gas producer.

Chemours revises loan

Over in the primary market, Chemours lowered pricing on its $1.5 billion seven-year covenant-light term loan B to Libor plus 300 bps from Libor plus 325 bps, tightened the original issue discount to 99.5 from 99 and extended the 101 soft call protection to one year from six months, a market source said.

As before, the term loan has a 0.75% Libor floor.

The company’s $2.5 billion senior secured credit facility (Ba1/BBB-) also includes a $1 billion revolver.

Recommitments are due at noon ET on Wednesday, the source added.

J.P. Morgan Securities LLC and Credit Suisse Securities (USA) LLC are leading the deal that will be used to help fund the company’s spinoff from E.I. DuPont de Nemours & Co.

Chemours’ businesses include titanium technologies based around the white pigment titanium dioxide, fluoroproducts and chemical solutions aimed at the gold production, oil refining, agriculture, industrial polymers and other industries.

J. Jill updates deal

J. Jill finalized pricing on its $250 million seven-year term loan B (B2/B) at Libor plus 500 bps, the tight end of the Libor plus 500 bps to 550 bps talk, moved the original issue discount to 99.5 from 99 and shortened the 101 soft call protection to six months from one year, according to a market source, who said the 1% Libor floor was unchanged.

The company’s $290 million credit facility also includes a $40 million asset-based revolver.

Recommitments were due by close of business on Tuesday, the source added.

Jefferies Finance LLC and Macquarie Capital (USA) Inc. are leading the deal that will be used with about $169 million in equity to fund the buyout of the company by TowerBrook Capital Partners LP from Arcapita and Golden Gate Capital.

Closing is expected this quarter.

J. Jill is a Quincy, Mass.-based multi-channel fashion retailer of women’s apparel, accessories and footwear.

eResearch tweaked

eResearchTechnology upsized its seven-year covenant-light term loan B to $490 million from $465 million, firmed pricing at Libor plus 450 bps, the low end of the Libor plus 450 bps to 475 bps, and changed the original issue discount to 99.5 from 99, a source said.

The term loan still has a 1% Libor floor and 101 soft call protection for six months.

The company’s now $535 million credit facility (B2/B) also includes a $45 million revolver.

Recommitments were due at 5 p.m. ET on Tuesday, the source added.

Jefferies Finance LLC and Citizens Capital Markets are leading the deal that will be used to fund the acquisition of PHT Corp., and as a result of the term loan upsizing, to fund a dividend.

eResearchTechnology, a Genstar Capital portfolio company, is a Philadelphia-based provider of patient-centric endpoint data collection solutions for use in clinical drug development. PHT is a Boston-based collector and reporter of secure real-time patient data from mobile apps.

Quintiles modified

Quintiles Transnational raised its seven-year term loan B to $600 million from $500 million and cut pricing to Libor plus 250 bps from talk of Libor plus 275 bps to 300 bps, while leaving the 0.75% Libor floor, original issue discount of 99.75 and 101 soft call protection for six months intact, according to a market source.

Also, the company upsized its five-year term loan A to $850 million from $750 million, the source said.

The company’s now $1.95 billion senior secured deal includes a $500 million five-year revolver as well.

J.P. Morgan Securities LLC, Barclays, Morgan Stanley Senior Funding Inc., Bank of America Merrill Lynch, MUFG and PNC Bank are leading the deal that will be used with $800 million of unsecured debt to refinance existing bank debt, and for general corporate purposes, including corporate transactions and equity repurchases. The extra funds from the loan upsizings will be used to add cash to the balance sheet, the source added.

Quintiles is a Durham, N.C.-based provider of biopharmaceutical development and commercial outsourcing services.

Physio-Control launches

Physio-Control held its bank meeting on Tuesday morning, at which time lenders were presented with $480 million in senior secured term loans split between a $350 million seven-year first-lien covenant-light term loan B (B) and a $130 million eight-year second-lien covenant-light term loan (CCC+), according to a market source.

The first-lien term loan is talked at Libor plus 450 bps 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 875 bps to 900 bps with a 1% Libor floor, a discount of 98 and hard call protection of 102 in year one and 101 in year two, the source said.

Commitments are due at 5 p.m. ET on May 14 and closing is targeted for June 5.

Citigroup Global Markets Inc., Jefferies Finance LLC, RBC Capital Markets and HSBC Securities (USA) Inc. are leading the deal that will be used to refinance existing debt and fund a dividend.

Physio-Control is a Redmond, Wash.-based developer, manufacturer, seller and servicer of external defibrillator/monitors and emergency medical response products and services.

TouchTunes terms emerge

TouchTunes Interactive Networks disclosed talk on its first-and second-lien term loans in connection with its bank meeting, a source remarked.

The $170 million six-year first-lien term loan (B1/B+) is talked at Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, and the $62.5 million seven-year second-lien term loan (Caa1/CCC+) is talked at Libor plus 825 bps to 850 bps with a 1% Libor floor, a discount of 98, and hard call protection of 102 in year one and 101 in year two, the source continued.

The company’s $257.5 million credit facility also includes a $25 million revolver (B1/B+).

Commitments are due on May 19, the source added.

Citizens Bank and Societe Generale are leading the deal that will help fund the buyout of the New York-based in-venue interactive music and entertainment platform by Searchlight Capital Partners LP.

Blackhawk reveals guidance

Blackhawk Mining released talk of Libor plus 1,000 bps with a 1% Libor floor, an original issue discount of 98 and call protection of non-callable for six months, then at 102 for a year and 101 for a year on its $300 million five-year senior secured term loan B (Caa1/B) that launched to investors in the morning, a source said.

Commitments are due at noon ET on May 18, the source added.

The company’s $360 million credit facility also includes a $60 million ABL revolver.

Deutsche Bank Securities Inc. is leading the deal that will be used to refinance existing debt and for general corporate purposes.

Blackhawk Mining is a Lexington, Ky.-based coal mining company.

Horizon pricing surfaces

Horizon Global held its bank meeting, launching its $215 million seven-year term loan B (B2/B) with talk of Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The company’s $315 million credit facility also includes a $100 million asset-based revolver.

J.P. Morgan Securities LLC, BMO Capital Markets and Wells Fargo Securities LLC are leading the deal that will be used to fund a cash distribution to TriMas Corp. in connection with Horizon’s spinoff from TriMas.

Horizon Global is a Bloomfield Hills, Mich.-based manufacturer and distributor of towing, trailer and cargo management products for the automotive market.

TransDigm holds call

TransDigm surfaced with plans in the morning to host a call at 1:30 p.m. ET to launch a $450 million first-lien covenant-light tack-on term loan D due June 2021 talked at Libor plus 300 bps with a 0.75% Libor floor, an original issue discount of 99.5 to 99.75 and 101 soft call protection through June, according to a market source.

Spread, floor, call protection and maturity on the tack-on loan are in line with the existing term loan D.

Commitments are due on Thursday, the source said.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc., UBS AG, Barclays, RBC Capital Markets, Credit Agricole and HSBC Securities (USA) Inc. are leading the deal that will help fund the roughly $496 million acquisition of Pexco LLC’s aerospace business and replenish cash on the balance sheet.

In addition, the company expects to increase availability under its revolver to about $500 million and may seek to raise around $450 million of new subordinated debt.

TransDigm is a Cleveland-based designer, producer and supplier of highly engineered aircraft components.

Salient floats talk

Salient Partners began circulating price talk of Libor plus 500 bps with a 1% Libor floor and an original issue discount of 99 on its $160 million term loan that is scheduled to launch with a bank meeting on Wednesday, a market source remarked.

The company’s $175 million credit facility (BB-) also includes a $15 million revolver.

Macquarie Capital (USA) Inc. is leading the deal that will be used to refinance existing debt and fund the acquisition of Forward Management LLC.

Closing is expected this quarter, subject to approval by Forward Funds’ shareholders and customary conditions.

Salient, a Summit Partners portfolio company, is a Houston-based investment management firm. Forward Management is a San Francisco-based asset management firm.

Ranpak releases details

Ranpak firmed timing on the lender call to launch its term loan debt repricing proposal, setting the call for 10:30 a.m. ET on Wednesday, compared to previous talk of sometime this week, according to a market source.

In addition, price talk was announced, with the $232 million first-lien term loan due October 2021 talked at Libor plus 325 bps with a 1% Libor floor and the €157 million first-lien term loan due October 2021 talked at Euribor plus 325 bps to 350 bps with a 1% floor, the source said.

The repricing will take the U.S. term loan down from Libor plus 375 bps with a 1% Libor floor and the euro term loan down from Euribor plus 400 bps with a 1% floor.

Both repriced term loans are offered at par and will have 101 soft call protection for six months.

Macquarie Capital (USA) Inc. is leading the deal.

Ranpak is a Concord Township, Ohio-based manufacturer of paper-based systems for protective packaging needs.

Physiotherapy on deck

Also on the new deal front, Physiotherapy Associates scheduled a bank meeting for Thursday morning to launch a $175 million credit facility, a market source said.

The facility consists of a $25 million five-year revolver, a $105 million six-year first-lien term loan and a $45 million seven-year second-lien term loan, the source added.

GE Capital Markets is leading the deal that will be used to refinance existing debt.

Physiotherapy Associates is an Exton, Pa.-based provider of outpatient rehabilitation services and orthotics and prosthetics services.

Infiltrator readies loans

Infiltrator Systems Integrated set a bank meeting in New York for Thursday to launch $345 million in term loans, according to a market source.

The debt consists of a $230 million seven-year first-lien covenant-light term loan and a $115 million eight-year second-lien covenant-light term loan, the source said.

Commitments are due on May 21 and closing is expected in late May.

Deutsche Bank Securities Inc., RBC Capital Markets and Nomura are leading the deal that will be used to help fund the buyout of the company by Teachers’ Private Capital.

Infiltrator Systems is a provider of engineered plastic chambers, synthetic aggregate leachfields, tanks and accessories for the onsite wastewater and stormwater industries.

Accuvant coming soon

Accuvant/FishNet will hold a lender call on Wednesday afternoon to launch $170 million in fungible incremental term loans consisting of a $100 million incremental first-lien term loan and a $70 million incremental second-lien term loan, a market source remarked.

The first-lien term loan is priced at Libor plus 525 bps with a 1% Libor floor and the second-lien term loan is priced at Libor plus 900 bps with a 1% Libor floor, with original issue discounts on the debt still to be determined, the source added.

Jefferies Finance LLC is leading the deal that will be used to fund a distribution to existing shareholders.

Accuvant/Fishnet is a provider of information security services and solutions.

Presidio joins calendar

Presidio scheduled a lender call for 2 p.m. ET on Wednesday to launch a $575 million first-lien covenant-light term loan due February 2022 that is talked at Libor plus 425 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on May 13, the source said.

Credit Suisse Securities (USA) LLC is leading the deal.

Proceeds will be used to reprice an existing term loan, which is being reduced from $600 million currently, from Libor plus 525 bps with a 1% Libor floor.

Presidio is a New York-based IT infrastructure solutions provider.

Energizer sets meeting

Energizer SpinCo plans to hold a bank meeting on Wednesday to launch a $650 million credit facility, according to a market source.

The facility consists of a $250 million five-year revolver and a $400 million seven-year term loan B, the source said.

J.P. Morgan Securities LLC is leading the deal that will be used to help fund the spin-off Energizer Holdings Inc.’s household products business into a newly formed publicly traded company named Energizer SpinCo.

Energizer SpinCo is a St. Louis-based manufacturer and marketer of batteries and lighting products.

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