HarbourVest, On Assignment, TTM break; CPM Acquisition updated; Genworth moves deadline

By Sara Rosenberg

New York, Feb. 21 – HarbourVest Partners LP lowered the spread on its term loan B before freeing up for trading on Wednesday, and On Assignment Inc. and TTM Technologies Inc. saw their term loans hit the secondary market as well.

In more happenings, CPM Acquisition Corp. firmed pricing on its term loan at the low end of guidance, and Genworth Financial Inc. accelerated the commitment deadline on its term loan.

Also, Cyanco Intermediate 2 Corp., KIK Custom Products Inc., Polyconcept, Crestwood Holdings LLC and Air Medical Group Holdings Inc. disclosed price talk with launch, and Genex Services released original issue discount guidance on its first-lien term loan.

Furthermore, Fluidra began circulating price talk on its term loan debt ahead of its New York bank meeting, and Booz Allen Hamilton Inc. and Neustar Inc. joined this week’s primary calendar.

HarbourVest flexes, trades

HarbourVest trimmed pricing on its $535 million seven-year covenant-light first-lien term loan B to Libor plus 225 basis points from talk in the range of Libor plus 250 bps to 275 bps, according to a market source.

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

Recommitments were due at noon ET on Wednesday, and then the loan made its way into the secondary market with levels seen at 99¾ bid, par ¼ offered, another source added.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to refinance existing debt and redeem partnership units.

HarbourVest is a Boston-based private equity firm.

On Assignment frees up

On Assignment’s $822 million seven-year incremental covenant-light term loan B (Ba2/BB) also began trading, with levels quoted at par ¼ bid, par 5/8 offered, a market source said.

Pricing on the incremental loan is Libor plus 200 bps with a 0% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, the issue price on the incremental loan tightened from 99.75.

Wells Fargo Securities LLC is leading the deal that will be used to help fund the acquisition of ECS Federal LLC from Roy Kapani, the company’s majority owner and founder, and Lindsay Goldberg for $775 million in cash.

With the incremental loan, the company sought an amendment to its existing $578 million term loan B due June 5, 2022 that is priced at Libor plus 200 bps with a 0% Libor floor in order to allow for the transaction.

Existing lenders are getting a 7.5 bps amendment fee and 101 soft call protection for six months.

Closing is expected on April 2, subject to regulatory approvals and customary conditions, at which time the company plans to change its name to ASGN Inc.

On Assignment is a Calabasas, Calif.-based provider of IT and professional services in the technology, creative/digital, engineering and life sciences sectors. ECS is a Fairfax, Va.-based provider of cyber security, cloud, DevOps, IT modernization and advanced science and engineering solutions to government enterprises.

TTM starts trading

TTM Technologies’ $600 million add-on term loan B due Sept. 28, 2024 broke too, with levels quoted at par ¼ bid, par ¾ offered, according to a trader.

The loan is priced at Libor plus 250 bps with a 0% Libor floor and was sold at an original issue discount of 99.75, Included in the debt is 101 soft call protection for six months.

During syndication, the add-on loan was upsized from $300 million and the discount was changed from 99.5.

Barclays, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to help fund the roughly $775 million acquisition of Anaren Inc. from Veritas Capital.

Closing is expected in the first half of this year, subject to customary conditions and regulatory approvals.

TTM is a Costa Mesa, Calif.-based printed circuit board manufacturer. Anaren is a Syracuse, N.Y.-based designer and manufacturer of high-frequency RF and microwave microelectronics, components and assemblies for the space, defense and telecommunications sectors.

CPM sets pricing

Back in the primary market, CPM Acquisition finalized the spread on its $361.8 million covenant-light first-lien term loan due April 2022 at Libor plus 350 bps, the tight end of the Libor plus 350 bps to 375 bps talk, and left the 1% Libor floor, par issue price and 101 soft call protection for six months unchanged, a market source said.

The company’s $381.8 million of credit facilities also include a $20 million revolver due April 2020.

Commitments were due at 5 p.m. ET on Wednesday, accelerated from noon ET on Thursday, the source added.

BMO Capital Markets Corp. and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to reprice existing bank debt.

CPM is a supplier of process equipment used for oilseed processing and animal feed production.

Genworth tweaks timing

Genworth Financial moved up the commitment deadline on its $450 million five-year senior secured term loan (Ba3/B+) to the close of business on Thursday from Friday, a market source remarked.

The term loan is talked at Libor plus 475 bps to 500 bps with a 1% Libor floor, an original issue discount of 98.5, and call protection of non-callable for one year, then a hard call of 102 in year two and 101 in year three.

Goldman Sachs Bank USA and JPMorgan Chase Bank are leading the deal that will be used with cash on hand to repay existing debt and transaction fees and expenses, and could be used to pay the company’s 6.515% senior notes due May 2018.

Closing is expected in early March.

Genworth Financial is a Richmond, Va.-based holding company that provides a diversified mix of life, annuity, long-term care and mortgage insurance solutions.

Cyanco discloses talk

Cyanco held its bank meeting on Wednesday and announced price talk on its $380 million seven-year covenant-light first-lien term loan (B+) and $100 million eight-year covenant-light second-lien term loan (CCC+), according to a market source.

Talk on the first-lien term loan is Libor plus 350 bps with a 0% Libor floor and an original issue discount of 99.5, and talk on the second-lien term loan is Libor plus 750 bps with a 0% Libor floor and a discount of 99, the source said.

The first-lien term loan has 101 soft call protection for six months and the second-lien term loan has call protection of 102 in year one and 101 in year two.

Commitments are due at the end of the day on March 7.

Deutsche Bank Securities Inc. is leading the deal that will be used to help fund the buyout of the company by Cerberus Capital Management LP from Oaktree Capital Management LP.

Cyanco is a Pearland, Texas-based supplier of sodium cyanide used for the extraction of gold and silver.

KIK Custom launches

KIK Custom Products launched with a call its $804.4 million term loan B due May 15, 2023 at talk of Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99.75 and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on Tuesday, the source added.

Barclays, BMO Capital Markets, Nomura, Macquarie Capital (USA) Inc. and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to reprice an existing term loan B and extend the maturity by about nine months.

KIK is a Concord, Ont.-based manufacturer of consumer products.

Polyconcept details emerge

Polyconcept came out with talk of Libor plus 375 bps to 400 bps with a 1% Libor floor and 101 soft call protection for six months on its fungible $20 million add-on term loan B due Aug. 16, 2023 and repricing of its $459 million term loan B due Aug. 16, 2023 that launched with a morning lender call, according to a market source.

The add-on term loan is talked with an original issue discount of 99.75 and the repricing is offered at par, the source continued.

Commitments/consents are due at 5 p.m. ET on Tuesday.

Goldman Sachs Bank USA, RBC Capital Markets and Natixis are leading the deal.

The add-on term loan will be used to add cash to balance sheet and fund potential future tuck-in acquisitions, and the repricing will take the existing term loan down from Libor plus 475 bps with a 1% Libor floor.

In connection with this transaction, the company is looking to amend its credit agreement to increase the permitted foreign acquisition basket to $60 million from $45 million, the source added.

Polyconcept is a supplier of decorated promotional products.

Crestwood reveals guidance

Crestwood Holdings launched on its call its $350 million five-year senior secured term loan B (B3) at talk of Libor plus 725 bps to 750 bps with a 0% Libor floor, an original issue discount of 98 to 98.5 and hard call protection of 102 in year one and 101 in year two, a market source said.

Commitments are due on Feb. 28, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to refinance an existing term loan B.

Crestwood is a Houston-based company focused on natural gas storage.

Air Medical holds call

Air Medical Group held a lender at 11:30 a.m. ET, launching a $933,371,662 senior secured covenant-light term loan B-1 due April 28, 2022 talked at Libor plus 325 bps with a step-up to Libor plus 350 bps when first-lien secured net leverage is greater than 4.25 times, a 1% Libor floor and a par issue price, according to a market source.

The term loan B-1 will become fungible with the company’s existing roughly $985 million term loan B and the combined tranche will have 101 soft call protection for six months, the source said.

Commitments/consents are due at 5 p.m. ET on Monday.

Morgan Stanley Senior Funding Inc. and KKR Capital Markets LLC are leading the deal that will be used to reprice an existing term loan B-1.

Air Medical is a Dallas-based provider of air and ground ambulance programs.

Genex floats OID

Genex Services held its bank meeting, launching its $365 million seven-year first-lien term loan B with original issue discount talk of 99.5 and 101 soft call protection for six months, a market source remarked.

As previously reported, the first-lien term loan is talked at Libor plus 325 bps with a 0% Libor floor.

Commitments are due on March 2, the source continued.

The company’s $535 million of credit facilities also include a $50 million five-year revolver, and a $120 million eight-year second-lien term loan talked at Libor plus 700 bps with a 0% Libor floor and hard call protection of 102 in year one and 101 in year two.

Original issue discount talk on the second-lien term loan is not being disclosed as it has basically already been placed, the source added.

SunTrust Robinson Humphrey Inc., RBC Capital Markets, Capital One, Fifth Third Bank and KKR Capital Markets are leading the deal, with SunTrust left on the first-lien loan and RBC left on the second-lien loan.

The credit facilities will be used to help fund the buyout of the company by Stone Point Capital LLC from Apax Partners, which is expected to close this quarter.

Genex is a Wayne, Pa.-based provider of cost containment services to the workers’ compensation, disability and auto industries.

Fluidra circulates talk

Fluidra released price talk of Libor plus 275 bps with a 0% Libor floor and an original issue discount of 99.5 on its $525 million seven-year first-lien term loan (Ba3/BB) that is set to launch with a 10:30 a.m. ET bank meeting in New York on Thursday, according to a market source.

The company is also getting a €425 million seven-year first-lien term loan (Ba3/BB) talked at Euribor plus 300 bps with a 0% floor and a discount of 99.5.

Both term loans have 101 soft call protection for six months and a March 6 commitment deadline.

A bank meeting for European investors already took place in London on Monday.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc., Bank of America Merrill Lynch and BBVA are leading the deal, with Credit Suisse left on the U.S. loan and Citigroup left on the euro loan.

The term loans will be used to fund the merger of Fluidra with Zodiac Pool Solutions, a Rhône Capital portfolio company, is a Vista, Calif.-based manufacturer of residential pool equipment and connected pool solutions.

Closing is expected in the first half of this year, subject to Fluidra’s shareholders approval and other customary conditions.

Fluidra is a Sabadell, Spain-based developer of products and applications for the pool market.

Booz Allen coming soon

Booz Allen Hamilton set a lender call for 2 p.m. ET on Thursday to launch a $395 million term loan B due June 30, 2023 talked at Libor plus 200 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on Feb. 28, the source said.

Bank of America Merrill Lynch is leading the deal that will be used to reprice an existing term loan B down from Libor plus 225 bps with a 0% Libor floor.

Booz Allen Hamilton is a McLean, Va.-based provider of management and technology consulting services, and engineering services to governments, corporations and not-for-profit organizations.

Neustar on deck

Neustar surfaced with plans to hold a lender call at 2 p.m. ET on Thursday for loan lenders, a market source remarked.

Bank of America Merrill Lynch is leading the deal. Neustar is a Sterling, Va.-based provider of real-time information services

© 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.