RevSpring breaks atop OID; CHG adjusts issue price; Zebra, Catalent launch repricings

By Sara Rosenberg

New York, Nov. 28 – RevSpring saw its credit facility free up for trading on Monday following a widening of both spread and original issue discount on the first-lien term loan.

In more happenings, CHG Healthcare Services Inc. tightened the original issue discount on its add-on first-lien term loan, Zebra Technologies Corp. and Catalent Pharma Solutions Inc. brought repricing transactions to market, and Ansira Partners Inc. began circulating price talk on its upcoming credit facility.

Additionally, RCN Grande (Radiate Holdco LLC), Albertsons Cos. LLC, Lightstone Generation LLC, Oberthur Technologies Group SAS, AdvancePierre Foods Inc., WirePath Home Systems LLC, Q Holding Co. and Rouse’s joined this week’s new issue calendar.

RevSpring starts trading

RevSpring’s $207 million seven-year first-lien term loan (B2/B) made its way into the secondary market on Monday, with levels quoted at 98½ bid, 99½ offered, according to a market source.

Pricing on the first-lien term loan is Libor plus 550 basis points with a 1% Libor floor, and it was sold at an original issue discount of 98. The debt has 101 soft call protection for six months.

The spread was increased from talk of Libor plus 475 bps to 500 bps, and the discount was revised from 99 before syndication wrapped up, the source said.

Along with the first-lien term loan, the company’s credit facility includes a $20 million revolver (B2/B) and an $83 million pre-placed second-lien term loan (Caa2/CCC).

Pro forma first-lien leverage is 4.5 times, and second-lien leverage is 6.3 times.

Jefferies Finance LLC and Madison Capital are leading the deal that will be used to help fund GTCR’s buyout of RevSpring, a Wixom, Mich.-based billing and consumer communication platform.

BWIC announced

Also in trading, a $533 million Bid Wanted In Competition emerged, with bids due at 10:30 a.m. ET o Tuesday, a trader remarked.

Some of the names in the portfolio are Academy Ltd., Albertson’s/Safeway, Berry Plastics Corp., Citco Group, Community Health Systems, Emdeon Business Services, FMG Resources, International Lease Finance Corp., La Quinta, Scientific Games Corp., Tibco Software, Valeant Pharmaceuticals and WaveDivision Holdings LLC.

There are about 140 issuers in the portfolio, the trader added.

CHG tweaks OID

Back in the primary market, CHG Healthcare Services modified the original issue discount on its $140 million add-on first-lien term loan to 99.75 from revised talk of 99.5 and initial talk of 99 to 99.5, according to a market source.

As before, the add-on loan is priced at Libor plus 375 bps with a 1% Libor floor and has 101 soft call protection until June 2017 – all of which matches the existing first-lien term loan.

Recommitments were due at 3 p.m. ET on Monday, the source said.

Jefferies Finance LLC is leading the deal that will be used to fund a dividend.

CHG is a Salt Lake City-based health care staffing firm.

Zebra launches

Zebra Technologies held a lender call at 2 p.m. ET on Monday to launch a repricing of its $1,723,000,000 senior secured covenant-light term loan B due Oct. 27, 2021 that is talked at Libor plus 250 bps to 275 bps with a 0.75% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Consents/commitments are due at 4 p.m. ET on Thursday, the source said.

Morgan Stanley Senior Funding Inc. is leading the deal that will take pricing on the term loan B down from Libor plus 325 bps with a 0.75% Libor floor.

Zebra is a Lincolnshire, Ill.-based provider of marking and printing technologies.

Catalent holds call

Catalent hosted a lender call at 11 a.m. ET to launch a repricing of its existing $1,466,500,000 senior secured covenant-light term loan B due May 20, 2021 and its existing €315,670,000 senior secured covenant-light term loan B due May 20, 2021 that is talked at Libor/Euribor plus 275 bps to 300 bps with a 1% floor, a par issue price and 101 soft call protection for six months, a market source said.

Morgan Stanley Senior Funding Inc. is leading the deal (Ba3/BB) that will reprice the term loans down from Libor/Euribor plus 325 bps with a 1% Libor floor.

Consents/commitments due at 5 p.m. ET on Thursday, the source added.

Also on Monday, the company announced plans to issue $400 million euro equivalent senior unsecured notes due 2024 to fund its acquisition of Accucaps Industries Ltd., repay a portion of the outstanding borrowings under its senior secured credit facilities and pay related fees and expenses, and for general corporate purposes.

Catalent is a Somerset, N.J.-based provider of advanced delivery technologies and development solutions for drugs, biologics and consumer health products.

Ansira floats talk

Ansira Partners released talk of Libor plus 650 bps with a 1% Libor floor and an original issue discount of 99 on its $300 million unitranche credit facility ahead of its Wednesday bank meeting, according to a market source.

The facility includes a $25 million revolver, a $240 million term loan and $35 million delayed-draw term loan.

The term loans have call protection of 102 in year one and 101 in year two, the source said.

Antares Capital is leading the deal that will be used to help fund the buyout of the company by Advent International from KRG Capital Partners.

Closing is expected by year-end, subject to customary conditions.

Ansira is a St. Louis-based data-driven, technology-enabled marketing solutions provider.

RCN Grande sets launch

RCN Grande surfaced with plans to hold a bank meeting at 10 a.m. ET in New York on Tuesday to launch a $1.48 billion credit facility (B1/B), according to a market source.

The facility consists of a $150 million revolver and a $1.33 billion seven-year covenant-light first-lien term loan talked with a 0.75% Libor floor and 101 soft call protection for six months, the source said.

Commitments are due at 5 p.m. ET on Dec. 12.

Credit Suisse Securities (USA) LLC, UBS Investment Bank, Morgan Stanley Senior Funding Inc. and Deutsche Bank Securities Inc. are leading the deal that will be used to help fund the acquisitions of RCN Telecom Services LLC for $1.6 billion and Grande Communications Networks LLC for $650 million by TPG Capital, Google Capital and Patriot Media Management from Abry Partners.

RCN and Grande will then be combined into one broadband services provider.

Closing is expected in the first quarter of 2017, subject to regulatory approvals and customary conditions.

Albertsons repricing

Albertsons scheduled a lender call for 10:30 a.m. ET on Tuesday to launch a repricing of $6,013,000,000 in term loans (Ba3/BB), a market source said.

The debt consists of a $3,271,000,000 term loan B-4 due August 2021 talked at Libor plus 275 bps, a $1,142,000,000 term loan B-5 due December 2022 talked at Libor plus 300 bps and a $1.6 billion term loan B-6 due June 2023 talked at Libor plus 300 bps, the source continued, adding that all of the term loans include a 0.75% Libor floor, a par issue price and 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on Thursday.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will reprice the company’s existing term loan B-4 down from Libor plus 350 bps with a 1% Libor floor, and the existing term loans B-5 and B-6 down from Libor plus 375 bps with a 1% Libor floor.

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

Lightstone readies deal

Lightstone Generation set a bank meeting for 1:30 p.m. ET in New York on Wednesday to launch a $1,825,000,000 credit facility (Ba3), according to a market source.

The facility consists of a $100 million revolver, a $1,575,000,000 seven-year covenant-light term loan B and a $150 million funded letter of credit facility (term loan C), the source said.

Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC, Jefferies Finance LLC, RBC Capital Markets, Goldman Sachs Bank USA and UBS Investment Bank are leading the deal that will help fund the roughly $2.17 billion buyout of the company by Blackstone and ArcLight Capital Partners LLC from American Electric Power.

Closing is expected in the first quarter of 2017, subject to regulatory approvals.

Lightstone Generation is a portfolio of four power generation facilities.

Oberthur coming soon

Oberthur Technologies will hold a bank meeting in London on Wednesday and a bank meeting at 10 a.m. ET in New York on Thursday to launch a €2.4 billion equivalent senior secured credit facility (B2/B-/B+), a market source remarked.

The facility consists of a €300 million multi-currency six-year revolver priced at Euribor plus 400 bps with no floor and a €2.1 billion seven-year U.S. and euro term loan with price talk not yet available, the source said.

Commitments are due on Dec. 14.

Deutsche Bank, Goldman Sachs International and Morgan Stanley are jointly leading the euro tranche, and Goldman Sachs is left lead on the U.S. tranche.

Proceeds will be used to help fund the acquisition of Morpho, a provider of security and identity solutions, for a total enterprise value of €2.5 billion and to refinance existing Oberthur debt.

Pro forma net total leverage is 4.3 times based on pro forma September 2016 LTM EBITDA of €461 million, the source added.

Oberthur is a France-based provider of chip-based digital authentication products and solutions.

AdvancePierre on deck

AdvancePierre Foods scheduled a lender call for 12:30 p.m. ET on Tuesday to launch a repricing of its existing $1,095,000,000 senior secured first-lien term loan due 2023, according to a market source.

The company also surfaced with plans to issue $350 million of senior notes to repay some debt under its existing term loan B.

Morgan Stanley Senior Funding Inc. and Deutsche Bank Securities Inc. are leading the repricing.

Current pricing on the term loan B is Libor plus 350 bps with a 1% Libor floor.

AdvancePierre is a Cincinnati-based producer and distributor of ready-to-eat sandwiches, sandwich components and other entrées and snacks to a variety of distribution outlets.

WirePath plans meeting

WirePath Home Systems emerged with plans to hold a bank meeting in New York on Thursday to launch a $205 million credit facility, according to a market source.

The facility consists of a $25 million five-year revolver and a $180 million six-year term loan, the source said.

Antares Capital and Citizens Bank are leading the deal that will be used for a dividend recapitalization.

WirePath is a Charlotte, N.C.-based developer and distributor of diversified home AV products to custom integrators in the audio/video, security and IT markets.

Q Holding readies loan

Q Holding scheduled a bank meeting for 10 a.m. ET in New York on Thursday to launch a $113 million incremental term loan B due December 2021 priced at Libor plus 500 bps with a 1% Libor floor, a source remarked.

RBC Capital Markets is leading the deal that will be used to fund the acquisition of Degania Silicone Ltd., a manufacturer of medical catheters.

Including the incremental loan, the term loan B will total $283 million.

Q Holding is a Twinsburg, Ohio-based manufacturer of highly-engineered precision-molded elastomeric components used in a broad range of medical, pharmaceutical and electrical management applications.

Rouse’s joins calendar

Rouse’s will hold a bank meeting on Tuesday to launch a $235 million senior secured credit facility, a market source said.

The facility consists of a $50 million five-year revolver and a $185 million five-year amortizing term loan, and pricing will be grid based with opening pricing expected at Libor plus 275 bps with no Libor floor, the source continued.

Capital One is leading the deal that will be used to refinance existing debt and for general corporate purposes.

Leverage is about 2.5 times, the source added.

Rouse’s is a Louisiana-based family owned regional supermarket operator.

© 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.