| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers O > Headlines for Onvoy LLC > News item |
Onvoy shifts funds between term loans, revises first-lien pricing
By Sara Rosenberg
New York, Jan. 31 – Onvoy LLC upsized its seven-year covenant-light first-lien term loan to $550 million from $500 million and downsized its privately placed second-lien term loan to $130 million from $180 million, according to a market source.
Additionally, pricing on the first-lien term loan was reduced to Libor plus 450 basis points from Libor plus 500 bps and the original issue discount was tightened to 99.5 from 98.5, the source said.
The first-lien term loan still has a 1% Libor floor and 101 soft call protection for six months.
The company’s $715 million credit facility also includes a $35 million revolver.
Credit Suisse Securities (USA) LLC and Regions Bank are the lead banks on the debt.
Recommitments were scheduled to be due at 5 p.m. ET on Tuesday, the source added.
Proceeds will be used to help fund Onvoy’s merger with Inteliquent Inc. that will take place in connection with Inteliquent’s buyout by GTCR LLC.
Other funds for the transaction will come from equity.
Under the agreement, Inteliquent is being bought for $23.00 in cash per share of common stock. The value of the transaction is about $800 million.
Closing is expected this quarter, subject to approval from Inteliquent stockholders, the expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as well as FCC and state regulatory approvals and other customary conditions. The transaction is not subject to financing.
Onvoy is a Plymouth, Minn.-based communications enabler. Inteliquent is a Chicago-based interconnection partner for communications service providers.
© 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.