NRG, Swissport, Veritext, Ultra Clean, ECi, Sharp, Tekni, American Auto, SupplyOne break

By Sara Rosenberg

New York, March 27 – NRG Energy Inc. revised the original issue discount on its term loan B, Swissport finalized the issue price on its U.S. term loan B at the tight end of the most recent revised talk, and Veritext firmed pricing on its term loan B at the low end of guidance and eliminated a leverage-based step-down, and then these deals freed to trade on Wednesday.

Also, before breaking for trading, Ultra Clean Holdings Inc. upsized its term loan B and trimmed the spread, ECi Software Solutions modified the issue price on its first-lien term loan B, Sharp Services LLC set the spread on its term loan B at the low end of talk, and Tekni-Plex Inc. (Trident TPI Holdings Inc.) set the issue price on its first-lien term loan B-6 at the tight end of guidance.

Additionally, American Auto Auction Group LLC increased the size of its incremental first-lien term loan before making its way into the secondary market, and SupplyOne Inc.’s term loan B broke for trading as well.

In more happenings, GIP II Blue Holding LP (HESM Holdco) trimmed the spread on its term loan B, Par Pacific (Par Petroleum) changed the issue price for new money commitments for its term loan B, ProAmpac finalized the margin on its term loan at the low end of guidance and tightened the issue price on the add-on portion of the transaction, and MyEyeDr. (MED ParentCo. LP) and Genesee & Wyoming Inc. released price talk with launch.

NRG tightened, trades

NRG Energy modified the original issue discount talk on its $875 million seven-year senior secured covenant-lite term loan B (BBB-/BBB-) to a range of 99.625 to 99.75 from a range of 99 to 99.5, and then set the discount at 99.75 following Wednesday’s noon ET recommitment deadline, according to a market source.

Pricing on the term loan remained at SOFR plus 200 basis points with a 0% floor, and the debt still has 101 soft call protection for six months.

On Wednesday, the term loan B broke for trading, with levels quoted at 99 7/8 bid, par ¼ offered, another source added.

Citigroup Global Markets Inc., Santander, BNP Paribas Securities Corp., Morgan Stanley Senior Funding Inc., MUFG, Natixis, SMBC, Barclays, BMO Capital Markets, Goldman Sachs Bank USA, JPMorgan Chase Bank, Truist Securities, BofA Securities Inc., Credit Agricole, Deutsche Bank Securities Inc., Mizuho, RBC Capital Markets and KeyBanc Capital Markets are leading the deal that will be used to repay the company’s secured notes due 2024 and for general corporate purposes, including opportunistic liability management.

Closing is expected in mid-April.

NRG is a Houston-based provider of energy solutions and natural gas.

Swissport updated

Swissport finalized the original issue discount on its $625 million seven-year term loan B at 99.5, the tight end of most recent revised talk of 99.25 to 99.5, and tighter than prior talk in the range of 98.5 to 99 and initial talk in the range of 98 to 98.5, a market source remarked.

Pricing on the U.S. term loan remained at SOFR plus 425 bps with a 0% floor.

The company is also getting a €625 million seven-year term loan B priced at Euribor plus 425 bps with a 0% floor and an original issue discount of 99.

Both term loans (B2/B+/BB+) have 101 soft call protection for six months.

During syndication, the U.S. and euro tranche sizes were firmed up after being launched as €1.2 billion equivalent of U.S. and euro term loan debt with the U.S. portion having a minimum size of $500 million, pricing on both term loans was cut from revised talk of SOFR/Euribor plus 450 bps and initial talk in the range of SOFR/Euribor plus 450 bps to 475 bps, and the discount on the euro term loan was set at the tight end of revised talk of 98.5 to 99 and tighter than initial talk in the range of 98 to 98.5.

Swissport frees

During the session, Swissport’s U.S. term loan made its way into the secondary market, with levels quoted in the afternoon at 99 7/8 bid, par 3/8 offered, a trader added.

JPMorgan Chase Bank is the physical bookrunner on the U.S. term loan. Barclays, BofA Securities Inc. and JPMorgan are the physical bookrunners on the euro term loan. Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc. and UBS Investment Bank are the senior joint bookrunners, and Goldman Sachs, Natixis, NatWest, RBC Capital Markets and Santander are joint bookrunners. JPMorgan is the administrative agent.

The term loans will be used to repay existing debt, fund a capital return to shareholders, add cash to the balance sheet, and pay transaction related fees and expenses.

Radar Bidco Sarl is a borrower under both term loans, and Swissport Stratosphere USA LLC is a borrower on the U.S. term loan.

Swissport is a Zurich-based provider of mission critical airport handling services.

Veritext finalized, breaks

Veritext set the spread on its $940 million term loan B due August 2030 at SOFR plus 350 bps, the low end of the SOFR plus 350 bps to 375 bps talk, and removed a leverage-based step-down, according to a market source.

The 0.5% floor, par issue price and 101 soft call protection for six months on the term loan were unchanged.

The term loan B began trading on Wednesday, and was quoted at par bid, par 3/8 offered in the afternoon, a trader added.

Goldman Sachs Bank USA is the left lead on the deal that will be used to reprice an existing term loan B due August 2030 down from SOFR plus 425 bps with a 0.5% floor.

Veritext is a Livingston, N.J.-based deposition service provider, assisting law firms and corporations in facilitating litigation proceedings.

Ultra Clean reworked, trades

Ultra Clean lifted its senior secured term loan B due February 2028 to $500 million from $479 million and cut pricing to SOFR plus 350 bps from SOFR plus 375 bps, a market source said.

As before, the term loan has a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Commitments were due at 10 a.m. ET on Wednesday and the term loan freed up in the afternoon, with levels quoted at 99¾ bid, par ¼ offered, another source added.

Barclays, HSBC Securities (USA) Inc. and SMBC are leading the deal that will be used to refinance/extend by 2.5 years an existing term loan and the funds from the upsizing will be used for general corporate purposes and/or additional liquidity.

Ultra Clean is a Hayward, Calif.-based developer and supplier of critical subsystems, components and parts, and ultra-high purity cleaning and analytical services primarily for the semiconductor industry.

ECi tweaked, breaks

ECi Software Solutions changed the original issue discount talk on its roughly $981 million first-lien term loan B due May 9, 2030 (B2/B-) to a range of 99.875 to par from a range of 99.5 to 99.75, and then finalized the price at par following Wednesday’s noon ET commitment deadline, a market source remarked.

Pricing on the term loan remained at SOFR plus 375 bps with a 0.75% floor, and the debt still has 101 soft call protection for six months.

Later in the day, the term loan B hit the secondary market, with levels quoted at par 1/8 bid, par 3/8 offered, another source added.

BofA Securities Inc. is the left lead arranger on the deal that will be used to extend the maturity date of an existing term loan B.

ECi is a Westlake, Tex.-based provider of enterprise resource planning solutions.

Sharp firmed, frees

Sharp Services set pricing on its $851 million term loan B due December 2028 (B3/B-) at SOFR plus 375 bps, the low end of the SOFR plus 375 bps to 400 bps talk, according to a market source.

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

During the session, the term loan B began trading, with levels quoted at par 1/8 bid, par ½ offered, another source added.

JPMorgan Chase Bank is leading the deal that will be used to reprice and combine the company’s two existing first-lien term loans due December 2028.

Sharp Services is a provider of pharmaceutical packaging and clinical services.

Tekni-Plex updated, trades

Tekni-Plex firmed the issue price on its $875.6 million first-lien term loan B-6 due Sept. 17, 2028 (B2/B-) at par, the tight end of the 99.75 to par talk, a market source remarked.

Pricing on the term loan remained at SOFR plus 400 bps with a 0.5% floor, and the term loan still has 101 soft call protection for six months.

In the afternoon, the term loan B-6 broke for trading, with levels quoted at par bid, par ¼ offered, another source added.

UBS Investment Bank, Goldman Sachs Bank USA, Jefferies LLC and BMO Capital Markets are leading the deal that will be used to reprice an existing term loan.

Tekni-Plex is a Wayne, Pa.-based provider of health care and consumer material solutions.

American Auto upsized, breaks

American Auto Auction raised its fungible incremental first-lien term loan due Dec. 30, 2027 to $175 million from $100 million, a market source said.

Pricing on the term loan is SOFR+CSA plus 500 bps with a 0.75% floor, in line with existing term loan pricing, and the original issue discount on the incremental term loan is 99.28. CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

Commitments continued to be due at noon ET on Wednesday and the incremental term loan freed to trade late in the day, with levels quoted at 99½ bid, par offered, another source added.

Jefferies LLC, BofA Securities Inc. and BMO Capital Markets are leading the deal that will be used to refinance existing debt, fund tuck-in acquisitions and, due to the upsizing, to add cash to the balance sheet for general corporate purposes, including future merger and acquisition activity, if any.

American Auto Auction is a used car auction market company.

SupplyOne hits secondary

SupplyOne’s $795 million seven-year term loan B (B2/B) broke for trading, with levels quoted at 99¼ bid, 99¾ offered, according to a market source.

Pricing on the term loan is SOFR plus 425 bps with a 0% floor and it was sold at an original issue discount of 99. The debt has 101 soft call protection for six months.

During syndication, the term loan was upsized from $770 million, pricing was lowered from SOFR plus 450 bps and the discount was tightened from 98.

RBC Capital Markets, Wells Fargo Securities LLC, Antares Capital and Goldman Sachs Bank USA are leading the deal that will be used to refinance an existing private credit deal and, due to the recent upsizing, for general corporate purposes, which may include future merger and acquisition activity.

Closing is expected in early April.

SupplyOne, a Wellspring portfolio company, is a distributor of corrugated and other value-added packaging products, equipment and services.

GIP II Blue flexed

GIP II Blue Holding reduced pricing on its $524,854,341 term loan B due Sept. 29, 2028 (Ba3/BB-) to SOFR plus 375 bps from SOFR plus 400 bps, according to a market source.

The term loan still has 0 bps CSA, a 1% floor, a par issue price and 101 soft call protection for six months.

Commitments continued to be due at 5 p.m. ET on Wednesday and allocations are expected on Thursday, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to reprice an existing term loan B down from SOFR+CSA plus 450 bps with a 1% floor. Current CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

GIP II, owned by Global Infrastructure Partners, is the owner of general partner and equity unit ownership interests in Hess Midstream LP and its operating subsidiary, Hess Midstream Operations LP.

Par Pacific revised

Par Pacific updated the issue price on its $546 million covenant-lite term loan B due Feb. 28, 2030 to par, compared to talk at launch of an original issue discount of 99.75 for new money and a par issue price for old money, a market source said.

Pricing on the term loan remained at SOFR plus 375 bps with a 0.5% floor, and the debt still has 101 soft call protection for six months.

Allocations are expected on Thursday morning, the source added.

Wells Fargo Securities LLC is the left lead on the deal that will be used to reprice an existing term loan B down from SOFR+10 bps CSA plus 425 bps with a step-down to SOFR plus 400 bps at corporate ratings of Ba3/BB- with stable outlooks and a 0.5% floor.

Par Pacific is a Houston-based refiner, marketer, transporter and distributor of crude oil.

ProAmpac modified

ProAmpac set pricing on its $2.497 billion term loan (B3/B-) at SOFR plus 400 bps, the low end of the SOFR plus 400 bps to 425 bps talk, a market source remarked.

Of the total term loan amount, $263 million is an add-on term loan that will be used to support acquisitions and $2.234 billion is a repricing of the company’s existing term loan down from SOFR plus 450 bps with a 0.75% floor.

With the spread change, the issue price on the add-on term loan was tightened to par from 99.75, while the issue price on the repricing remained at par, the source continued.

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

Commitments were due at 5 p.m. ET on Wednesday, with allocations expected on Thursday, the source added.

JPMorgan Chase Bank is leading the deal.

ProAmpac is a Cincinnati-based manufacturer of flexible packaging and material science solutions.

MyEyeDr. talk

MyEyeDr. held its lender call at 10 a.m. ET on Wednesday and, shortly before the call began, price talk on its $1.4 billion seven-year first-lien term loan came out at SOFR plus 425 bps with a 25 bps leverage-based step-down, a 0% floor and an original issue discount of 99, 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 April 4.

The company’s $1,550,625,000 of credit facilities (B3/B-) also include a $150,625,000 five-year revolver.

Jefferies LLC is the left lead on the deal that will be used with new PIK preferred equity to refinance existing debt.

MyEyeDr. is an optometry platform.

Genesee guidance

Genesee & Wyoming launched on its afternoon lender call its $2.425 billion seven-year term loan B at talk of SOFR plus 225 bps to 250 bps with a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source said.

Commitments are due at 5 p.m. ET on April 4, the source added.

RBC Capital Markets and Wells Fargo Securities LLC are leading the deal that will be used with $1 billion of other secured debt to refinance existing debt, including an existing term loan B due 2026, and to fund a shareholder distribution.

Brookfield and GIC are the sponsors.

Genesee & Wyoming is a Darien, Conn.-based provider of rail freight transportation and support services.

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