First Brands, Allied, Rockwood, Four Seasons, J&J break; Barnes, Cushman, ASGN revised

By Sara Rosenberg

New York, Aug. 9 – First Brands Group LLC increased the size of its incremental first-lien term loan, and Allied Universal Holdco LLC (Atlas LuxCo Sarl) came to market in the morning with an incremental first-lien term loan and upsized the tranche shortly thereafter, and then both of these deals freed to trade on Wednesday afternoon.

Also, Rockwood Service Corp. (Acuren) upsized its incremental first-lien term loan B and adjusted the issue price before breaking for trading, and deals from Four Seasons Hotels Ltd. and J&J Ventures Gaming Inc. emerged in the secondary market as well.

In more happenings, Barnes Group Inc. upsized its term loan B, trimmed the spread and tightened the original issue discount, Cushman & Wakefield lifted the size of its term loan B, lowered the spread and adjusted the issue price, and ASGN Inc. modified price talk on its term loan B to the low end of initial guidance and revised the original issue discount.

Additionally, Installed Building Products Inc. added CSA to its term loan B, Tacala Cos. accelerated the commitment deadline for its add-on first-lien term loan, StandardAero (Dynasty Acquisition Co.) released price talk with launch, and PlayCore joined this week’s primary calendar.

First Brands upsized, trades

First Brands raised its fungible incremental first-lien term loan due March 30, 2027 to $450 million from $350 million, according to a market source.

The incremental term loan is priced at SOFR+CSA plus 500 bps with a 1% floor, in line with the company’s existing term loan, and the new debt is being sold at an original issue discount of 97. CSA is 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

Commitments continued to be due at 2 p.m. ET on Wednesday and the incremental term loan began trading in the afternoon, with levels quoted at 97 5/8 bid, 98 1/8 offered, a trader added.

Jefferies LLC is leading the deal that will be used to fund cash to the balance sheet for liquidity to support bids for new business and other growth initiatives including mergers and acquisitions.

First Brands is a Rochester, Mich.-based automotive aftermarket platform offering comprehensive solutions for consumable maintenance and mission-critical repair parts.

Allied launches, frees

Allied Universal launched in the morning a fungible incremental covenant-lite first-lien term loan (B3/B) due May 11, 2028 with a size of $100 million and then upsized the loan to $175 million in the early afternoon, a market source said.

The incremental term loan is priced at SOFR plus 475 bps with a 0.5% floor, an original issue discount of 97 and 0 bps CSA.

Commitments were due at 1 p.m. ET on Wednesday and the incremental term loan broke for trading in the afternoon, with levels quoted at 97½ bid, 98½ offered, a trader added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to repay existing euro revolver borrowings and to pay related fees and expenses. Credit Suisse is the agent.

Closing is expected in mid-August.

Allied Universal is a Santa Ana, Calif.-based provider of security services.

Rockwood updated, breaks

Rockwood Service upsized its fungible incremental first-lien term loan B (B2/B) due Jan. 23, 2027 to $170 million from $150 million, changed the original issue discount talk to a range of 99.5 to 99.75 from a range of 99.27 to 99.5, and then set the discount at 99.75 after the noon ET commitment deadline passed, according to a market source.

Pricing on the first-lien term loan is SOFR+CSA plus 425 bps with a 25 bps step-down at 3.5x first-lien net leverage and a 0% floor, and the debt has 101 soft call protection for six months. CSA is a 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

The incremental term loan made its way into the secondary market during the session, with levels quoted at par bid, par ¾ offered, another source added.

BofA Securities Inc., BMO Capital Markets and Antares Capital are leading the deal that will be used to fund a dividend and, as a result of the upsizing, to pay down revolver borrowings and for general corporate purposes.

Rockwood is a provider of nondestructive testing, inspection and related services to energy and industrial markets.

Four Seasons hits secondary

Four Seasons Hotels’ $845.75 million senior secured covenant-lite first-lien term loan B (Ba3/BBB-) due Nov. 30, 2029 freed up too, with levels quoted at par ¼ bid, par ½ offered, a trader said.

Pricing on the term loan is SOFR+10 bps CSA plus 250 bps with a 0.5% floor, and it was issued at par. The loan has 101 soft call protection for six months.

During syndication, the issue price on the term loan was modified from 99.75.

Morgan Stanley Senior Funding Inc. is the sole bookrunner on the deal. Citigroup Global Markets Inc. is the administrative agent.

Proceeds will be used to reprice an $845.75 million senior secured covenant-lite first-lien term loan B due Nov. 30, 2029 down from SOFR+10 bps CSA plus 325 bps with a 0.5% floor.

Closing is expected during the week of Aug. 14.

Four Seasons is a Toronto-based luxury hotels company.

J&J starts trading

J&J Ventures Gaming’s non-fungible $350 million delayed-draw covenant-lite term loan B (B2/B) due April 26, 2028 began trading as well, with levels quoted at 95 bid, 96½ offered, according to a market source.

Pricing on the term loan is SOFR+CSA plus 425 bps with a 0.75% floor and it was sold at an original issue discount of 95. CSA is 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate. The debt has 101 soft call protection for one year and delayed-draw ticking fees of half the margin from days 31 to 60, the full margin from days 61 to 135 and SOFR+CSA plus the full margin thereafter.

During syndication, the term loan was downsized from $375 million and revised from a funded incremental tranche, pricing was increased from SOFR plus 400 bps, the discount widened from talk in the range of 97 to 97.5, the call protection was extended from six months, the escrow ticking fee was removed, and the delayed-draw ticking fees were added.

Deutsche Bank Securities Inc., Goldman Sachs Bank USA and SMBC are leading the deal that will be used to fund the acquisition of Golden Entertainment’s distributed gaming assets in Nevada and Montana.

J&J Ventures, an Oaktree Capital Management LP portfolio company, is an Effingham, Ill.-based video gaming terminal operator.

Barnes reworked

Barnes Group lifted its seven-year term loan B (Ba3/BB) to $650 million from $600 million, cut pricing to SOFR plus 300 bps from SOFR plus 350 bps, and revised the original issue discount to 99.25 from talk in the range of 98.5 to 99, a market source remarked.

As before, the term loan has 10 bps CSA, a 0% floor and 101 soft call protection for six months.

Commitments continued to be due at 4 p.m. ET on Wednesday and allocations are expected on Thursday, the source added.

BofA Securities Inc., Citizens Bank, JPMorgan Chase Bank, Wells Fargo Securities LLC, PNC Capital Markets, TD Securities (USA) LLC, Truist Securities, HSBC Securities (USA) Inc. and US Bank are leading the deal that will be used to help fund the acquisition of MB Aerospace for about $740 million, for working capital, for capital expenditures and for other general corporate purposes.

Closing is expected in the fourth quarter, subject to regulatory approvals and other customary conditions.

Barnes is a Bristol, Conn.-based developer of advanced processes, automation solutions and applied technologies for various industries. MB Aerospace is a Motherwell, U.K.-based provider of precision aero-engine component manufacturing and repair services.

Cushman modified

Cushman & Wakefield increased its term loan B due Jan. 31, 2030 to $1 billion from $700 million, trimmed pricing to SOFR plus 400 bps from SOFR plus 425 bps and revised the original issue discount to 97 from 96, according to a market source.

As before, the term loan has a 0.5% floor.

Commitments are due at noon ET on Thursday, accelerated from 10 a.m. ET on Friday, the source added.

JPMorgan Chase Bank is leading the deal that will be used with $400 million of senior secured notes, downsized from $500 million, to refinance a portion of the company’s existing $1.6 billion senior secured term loan B due Aug. 21, 2025.

Cushman & Wakefield is a Chicago-based commercial real estate services company.

ASGN revised

ASGN changed price talk on its $500 million seven-year covenant-lite term loan B (Ba1) to SOFR plus 225 bps from talk in the range of SOFR plus 225 bps to 250 bps and tightened the original issue discount to 99.75 from 99.5, a market source said.

The term loan still has a 0% floor and 101 soft call protection for six months.

Recommitments are due at noon ET on Tuesday, accelerated from an original commitment deadline of noon ET on Aug. 17, the source added.

Wells Fargo Securities LLC is the left lead on the deal that will be used to refinance the company’s existing term loan B due 2025.

ASGN is a Glen Allen, Va.-based provider of IT and professional services in the technology, digital, creative, engineering and life sciences fields across commercial and government sectors.

Installed Building tweaked

Installed Building Products added ARRC CSA of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate to its $492.5 million term loan B (Ba2/BB+) due Dec. 14, 2028, revised from no CSA at launch, according to a market source.

Pricing on the term loan is still SOFR plus 200 bps with a 0.5% floor and a par issue price, and the debt still has 101 soft call protection for six months.

Commitments are due at noon ET on Thursday, extended from noon ET on Wednesday, the source added.

RBC Capital Markets is the left lead on the deal that will be used to reprice an existing $492.5 million term loan B due Dec. 14, 2028 down from SOFR+ ARRC CSA plus 225 bps with a 0.5% floor.

Installed Building Products is a Columbus, Ohio-based installer of insulation and complementary building products.

Tacala accelerated

Tacala moved up the commitment deadline for its fungible $85 million add-on first-lien term loan to 5 p.m. ET on Thursday from 5 p.m. ET on Aug. 14, a market source remarked.

The add-on term loan is talked at SOFR+CSA plus 425 bps with a 0.75% floor and an original issue discount of 98. CSA is the ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

KKR Capital Markets and Wells Fargo Securities LLC are leading the deal that will be used with cash on hand to pay a $140 million dividend.

The company is also getting a $25 million add-on revolver, which will increase the total revolver size to $55 million.

With this transaction, the company is repricing its existing first-lien term loan to SOFR+ARRC CSA plus 425 bps with a 0.75% floor from SOFR+ARRC CSA plus 350 bps with a 0.75% floor and its existing second-lien term loan to SOFR+ARRC CSA plus 800 bps with a 0.75% floor from SOFR+ARRC CSA plus 750 bps with a 0.75% floor.

Tacala is a Vestavia Hills, Ala.-based franchise operator of Taco Bell restaurants.

StandardAero guidance

StandardAero held its lender call on Wednesday morning and announced price talk on its $2.575 billion first-lien term loan due August 2028 at SOFR plus 425 bps with a 0% floor and an original issue discount of 98.5, according to a market source.

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

UBS Investment Bank and RBC Capital Markets are leading the deal that will be used to amend and extend an existing first-lien term loan by about 2½ years and refinance an existing 2021 incremental first-lien term loan into the new tranche.

Commitments/consents are due at noon ET on Aug. 16.

StandardAero is a Scottsdale, Ariz.-based provider of aircraft engine maintenance, repair and overhaul services for the aerospace and defense industries.

PlayCore on deck

PlayCore set a lender call for 10 a.m. ET on Thursday to launch a $640 million first-lien term loan (B2), a market source said.

Goldman Sachs Bank USA is the left lead on the deal that will be used to refinance the company’s existing $396 million first-lien term loan and $145 million second-lien term loan, and s add cash to the balance sheet for mergers and acquisitions.

Court Square Capital Partners is the sponsor.

PlayCore is a Chattanooga, Tenn.-based designer, manufacturer and marketer of commercial playground, park, recreation and specialty equipment and related complementary products.

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