Albertsons, Janus International revised; Park Place Technologies modifies deadline

By Sara Rosenberg

New York, Aug. 6 – Albertsons Cos. Inc. lowered the spread on its first-lien term loan B-8 on Tuesday and launched a repricing of its existing term loan B-7, and Janus International Group reduced the size of its incremental first-lien term loan.

Also in the primary market, Park Place Technologies moved up the commitment deadline for its incremental term loan debt.

Additionally, US Ecology Inc., Hyperion Materials & Technologies, Hyland Software Inc. and Invenergy Thermal Operating I LLC announced price talk with launch, and Aptean and Q Holding Co. joined this week’s primary calendar.

Albertsons flexes

Albertsons trimmed pricing on its $1.6 billion seven-year covenant-lite first-lien term loan B-8 (Ba2/BB) to Libor plus 275 basis points from Libor plus 300 bps, and left the 0.75% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months unchanged, according to a market source.

Previously in syndication, the term loan B-8 was downsized from $1.7 billion with the company’s decision to upsize its senior notes offering to $750 million from $500 million.

Commitments remained due at 5 p.m. ET on Tuesday, the source continued.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used with the notes and cash on hand to refinance about $3.2 billion of existing term loan debt.

Albertsons is a Boise, Idaho-based food and drug retailer.

Albertsons B-7 repricing

Following the pricing flex to the term loan B-8, Albertsons launched on Tuesday a $1.5 billion covenant-lite first-lien term loan B-7 due November 2025 talked at Libor plus 275 bps with a 0.75% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, the source added.

Commitments were due at 5 p.m. ET on Tuesday.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to reprice an existing term loan B-7 down from Libor plus 300 bps with a 0.75% Libor floor.

Albertsons is a Boise, Idaho-based food and drug retailer.

Janus downsizes

Janus International scaled back its incremental first-lien term loan to $106 million from $180 million and cancelled plans for a $75 million dividend payment, according to a market source.

The incremental term loan is still priced at Libor plus 375 bps with a 0% Libor floor and an original issue discount of 99.

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

UBS Investment Bank and Morgan Stanley Senior Funding Inc. are leading the deal, which will still be used to repay an existing second-lien term loan. Proceeds will also pay fees and expenses connected to the transaction.

Janus is a Temple, Ga.-based manufacturer of roll-up and swing doors, hallway systems and re-locatable storage units for the self-storage industry.

Park Place accelerated

Park Place Technologies changed the commitment deadline for its incremental term loan debt to 5 p.m. ET on Wednesday from Thursday, and allocations are now expected on Thursday morning, a market source said.

The debt is split between a fungible $30.6 million add-on first-lien term loan of which the majority is privately placed with Golub Capital, the lead arranger on the deal, and a fungible $30.5 million add-on second-lien term loan.

Pricing on the add-on first-lien term loan is Libor plus 400 bps with a 1% Libor floor, and the debt is getting 101 soft call protection for six months.

Pricing on the add-on second-lien term loan is Libor plus 800 bps with a 1% Libor floor, and the tranche is talked with an original issue discount of 98.625.

Proceeds will be used to fund the acquisition of Entuity Network Analytics and support a minority equity sale to Charlesbank Capital Partners.

Park Place Technologies is a Cleveland-based provider of post-warranty maintenance for storage, server and networking hardware.

US Ecology guidance

In more happenings, US Ecology held its bank meeting on Tuesday and announced price talk on its $400 million seven-year covenant-lite term loan B (Ba3/BB+) at Libor plus 275 bps with a 0% Libor floor and an original issue discount of 99.5, according to a market source.

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

Commitments are due at 3 p.m. ET on Aug. 15.

Wells Fargo Securities LLC and BofA Securities Inc. are leading the deal that will be used to refinance NRC Group Holdings Corp.’s existing debt and pay transaction related fees in connection with US Ecology’s all-stock acquisition of NRC Group.

US Ecology is a Boise, Idaho-based provider of environmental services to commercial and government entities. NRC Group is a Great River, N.Y.-based provider of environmental, compliance and waste management services.

Hyperion details surface

Hyperion Materials held its call during the session and launched to investors $405 million of credit facilities, split between a $65 million five-year revolver, a $240 million seven-year first-lien term loan and a $100 million eight-year second-lien term loan, a market source remarked.

The first-lien term loan is talked at Libor plus 550 bps with a 0% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, and the second-lien term loan is talked at Libor plus 900 bps with a 0% Libor floor, a discount of 98 and hard call protection of 102 in year one and 101 in year two.

Commitments are due on Aug. 15, the source added.

UBS Investment Bank and KKR Capital Markets are leading the deal, with UBS the left lead on the first-lien debt and KKR the left lead on the second-lien debt.

The credit facilities will be used to refinance existing debt.

Hyperion Materials is a Worthington, Ohio-based provider of hard and super-hard materials.

Hyland proposed terms

Hyland Software launched on its morning lender call its $205 million incremental first-lien term loan (B1/B-) due July 1, 2024 with original issue discount talk of 99.5 and its $115 million incremental second-lien term loan (Caa1/CCC) due July 7, 2025 with discount talk of 99, according to a market source.

The incremental first-lien term loan is priced at Libor plus 350 bps with a 0.75% Libor floor and has 101 soft call protection for six months, and the incremental second-lien term loan is priced at Libor plus 700 bps with a 0.75% Libor floor and has 101 hard call protection until April 2020. Spreads and floors on the incremental loans match existing first- and second-lien term loan pricing.

Commitments are due on Aug. 13.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to fund a distribution to shareholders.

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

Invenergy comes to market

Invenergy surfaced in the morning with plans to hold a lender call at 11:30 a.m. ET to launch a fungible $50 million incremental first-lien term loan due August 2025 talked with an original issue discount of 99.5, a market source remarked.

Like the existing loan, the incremental term loan is priced at Libor plus 350 bps with a 25 bps step-down based on leverage and a 0% Libor floor.

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

Commitments are due at 5 p.m. ET on Aug. 13, the source said.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to fund a shareholder distribution.

In connection with this transaction, the company is asking to amend its existing credit facilities to allow for the incremental debt and revise restricted payments.

Existing lenders are being offered a 25 bps consent fee for the amendment, the source added.

Invenergy is a Chicago-based operator of power generation facilities.

Aptean timing emerges

Aptean set a lender call for 10:30 a.m. ET on Thursday to launch its previously announced $112 million of incremental term loans, according to a market source.

The debt consists of a $75 million incremental first-lien term loan and a $37 million incremental second-lien term loan.

Golub Capital is leading the deal that will be used to fund the acquisition of Sanderson, a U.K.-based provider of digital technology solutions and managed services.

Aptean, a TA Associates and Vista Equity Partners portfolio company, is an Alpharetta, Ga.-based provider of mission-critical, industry-specific enterprise software solutions.

Q Holding on deck

Q Holding scheduled a lender call for 9 a.m. ET on Wednesday to launch an amendment and extension of its existing $275 million term loan B due December 2021, a market source said.

RBC Capital Markets and ING Capital are leading the deal.

Q Holding, a portfolio company of 3i Group, is a Solon, Ohio-based provider of highly engineered products and elastomeric solutions for the global life sciences and electrical management markets.

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