New Issue: Alliant Holdings sells upsized $700 million tap of 7% secured notes due 2031 at 102.25

By Paul A. Harris

Portland, Ore., Jan. 12 – Alliant Holdings Intermediate, LLC and Alliant Holdings Co-Issuer, Inc. priced an upsized $700 million add-on to their 7% senior secured notes due Jan. 15, 2031 (B2/B) at 102.25, resulting in a 6.461% yield to worst on Friday, according to market sources.

The deal, which came in a drive-by, upsized from $600 million.

The issue price came in the middle of price talk in the 102.25 area. Initial talk was in the 102 area.

Bookrunners were Morgan Stanley & Co. LLC, Stone Point Capital, J.P. Morgan Securities LLC, Capital One Securities Inc., Truist Securities Inc., RBC Capital Markets LLC, KKR Capital Markets LLC, BofA Securities Inc., Fifth Third Securities Inc., Goldman Sachs & Co. LLC, Macquarie Capital (USA) Inc. and R. Seelaus & Co. Inc.

The Eden Prairie, Minn.-based insurance brokerage holding company plans to use the proceeds to refinance its perpetual preferred equity, with the remainder to be used for general corporate purposes.

The incremental proceeds resulting from the $100 million upsize of the deal will go to the company’s balance sheet, to be used for general corporate purposes.

Issuers:	Alliant Holdings Intermediate, LLC and Alliant Holdings Co-Issuer, Inc.
Amount:	$700 million, increased from $600 million
Issue:	Add-on to senior secured notes
Maturity:	Jan. 15, 2031
Bookrunners:	Morgan Stanley & Co. LLC, Stone Point Capital, J.P. Morgan Securities LLC, Capital One Securities Inc., Truist Securities Inc., RBC Capital Markets LLC, KKR Capital Markets LLC, BofA Securities Inc., Fifth Third Securities Inc., Goldman Sachs & Co. LLC, Macquarie Capital (USA) Inc. and R. Seelaus & Co. Inc.
Coupon:	7%
Price:	102.25
Yield to worst:	6.461%
Spread:	258 bps
First call:	Jan. 15, 2027 at 103.5
Trade date:	Jan. 12
Settlement date:	Jan. 19 with accrued interest
Ratings:	Moody’s: B2
	S&P: B
Distribution:	Rule 144A for life and Regulation S
Price talk:	102.25 area
Marketing:	Drive-by
Original issue:	$750 million priced on Dec. 6, 2023
Fungibility:	Rule 144A add-on notes will immediately become fungible with original notes; Regulation S add-on notes will become fungible with original notes following 40-day cooling period

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.