Waste Industries, Applied Systems, Golden Nugget, Pike and many more reveal pricing guidance

By Sara Rosenberg

New York, Sept. 6 – In the primary market on Wednesday, Waste Industries (Wrangler Buyer Corp.), Applied Systems Inc., Golden Nugget Inc., Pike Corp., Wilshire Grand Center (Hanjin International Corp.), ECi Software Solutions, PlayCore, Corsair, Conduent Business Services LLC, Quintiles IMS Holdings Inc., Peabody Energy Corp. and SRAM LLC all released price talk in connection with their bank meetings/lender calls.

Also, deals from Vantiv LLC, McAfee LLC, Tronox Ltd., Education Advisory Board, MRC Global Inc., TTM Technologies Inc., EagleView Technology Corp. and Aristocrat Leisure Ltd. piled on to the near-term calendar.

Waste Industries floats terms

Waste Industries held its bank meeting on Wednesday afternoon, launching its $890 million seven-year covenant-light first-lien term loan at talk of Libor plus 275 basis points to 300 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source said.

The company’s $1.09 billion of credit facilities (B) also include a $200 million five-year revolver.

Commitments are due at noon ET on Sept. 20, the source added.

Barclays, Macquarie Capital (USA) Inc. and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to help fund the acquisition of the company by HPS Investment Partners LLC and Equity Group Investments from Macquarie Infrastructure Partners.

Closing is expected late this month, subject to customary regulatory approvals.

Waste Industries is a Raleigh, N.C.-based provider of non-hazardous solid waste collection, transfer, recycling and disposal services.

Applied Systems hosts call

Applied Systems had its lender call in the afternoon, at which time talk on its $1.03 billion seven-year first-lien term loan B (B1/B) and $495 million eight-year second-lien term loan (Caa2/CCC) was announced, according to a market source.

The first-lien term loan is talked at Libor plus 350 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and the second-lien term loan is talked at Libor plus 725 bps to 750 bps with a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two, the source said.

The company’s $1,575,000,000 of credit facilities also include a $50 million five-year revolver (B1/B).

Commitments are due at noon ET on Sept. 13, the source added.

Nomura, Jefferies LLC and Macquarie Capital (USA) Inc. are leading the deal that will be used to refinance existing debt, fund a distribution to shareholders and pay fees and expenses.

Applied Systems, a Hellman & Friedman portfolio company, is a University Park, Ill.-based cloud software provider to the property & casualty and benefits insurance industry.

Golden Nugget sets talk

Golden Nugget disclosed talk of Libor plus 350 bps with a 0.75% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months on its $1.08 billion incremental first-lien term loan due October 2023 that launched with a morning bank meeting, according to a market source.

Commitments are due on Sept. 14, the source said.

Jefferies LLC, Citigroup Global Markets Inc., Rabobank, KeyBanc Capital Markets and Citizens Bank are leading the deal that will be used with a $745 million add-on senior unsecured notes offering and a $670 million subordinated notes offering to refinance existing debt and fund a shareholder distribution.

With the incremental term loan, pricing on the company’s existing term loan will be increased from Libor plus 275 bps with a 0.75% Libor floor to match the new loan pricing, the source added.

Golden Nugget, formerly known as Landry’s Inc., is a diversified restaurant, hospitality and entertainment company.

Pike discloses guidance

Pike held its call in the morning, launching its $630 million senior secured seven-year covenant-light term loan B (B) at talk of Libor plus 350 bps to 375 bps with a 1% Libor floor, an original issue discount of 99.5 on new money, a par issue price on existing money and 101 soft call protection for six months, a market source said.

Commitments/consents are due at noon ET on Sept. 13, the source added.

Morgan Stanley Senior Funding Inc., KeyBanc Capital Markets Inc., SunTrust Robinson Humphrey Inc. and Fifth Third Bank are leading the deal that will be used to refinance existing first-and second-lien term loans, and pay related fees and expenses.

Pike is a Mount Airy, N.C.-based specialty construction and engineering firm.

Wilshire Grand launches

Wilshire Grand Center had its lenders’ presentation in the morning, and with the event, released talk of Libor plus 300 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months on its $600 million three-year senior secured term loan B (Ba3) , according to a market source.

Commitments are due at noon ET on Sept. 20, the source said.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to refinance existing debt, fund cash to the balance sheet and pay transaction-related fees and expenses.

Wilshire Grand is a hotel and mixed-use building.

ECi details surface

ECi Software Solutions came out with talk on its first-and second-lien term loans with its late-morning bank meeting, a market source said.

The $380 million first-lien term loan B (B2/B) is talked at Libor plus 400 bps to 425 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and the $140 million second-lien term loan (Caa2/CCC) is talked at Libor plus 800 bps with a 1% Libor floor, a discount of 98.5 to 99 and call protection of 102 in year one and 101 in year two, the source continued.

The company’s $570 million of credit facilities also include a $50 million revolver (B2/B).

Commitments are due on Sept. 15, the source added.

Bank of America Merrill Lynch and RBC Capital Markets are leading the deal, with Bank of America the left lead on the first-lien and RBC the left lead on the second-lien.

ECi being acquired

Proceeds from ECi’s credit facilities will be used to help fund its buyout by Apax Partners from the Carlyle Group and Level Equity and combination with the Macola, JobBOSS and MAX businesses of Exact Software, a current Apax Funds portfolio company. These businesses provide enterprise resource planning software applications to a wide range of manufacturers.

Carlyle will retain a minority ownership position in the combined company.

Closing is expected in the third quarter, subject to customary conditions.

ECi is a Fort Worth, Texas-based provider of enterprise resource planning software solutions to small- and medium-sized businesses across the distribution, field services, building and construction and manufacturing industries.

PlayCore talk emerges

PlayCore came out with talk of Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months on its $370 million seven-year first-lien term loan (B2/B) and $50 million delayed-draw first-lien term loan (B2/B) shortly before its morning bank meeting kicked off, according to a market source.

Commitments are due on Sept. 18, the source said.

The company’s $635 million of senior secured credit facilities also include a $70 million asset-based revolver and a $145 million second-lien term loan (Caa2/CCC+).

Goldman Sachs Bank USA, KeyBanc Capital Markets and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to help fund the buyout of the company by Court Square Capital Partners.

PlayCore is a Chattanooga, Tenn.-based designer, manufacturer and marketer of commercial playground, park, recreation and specialty equipment and related complementary products.

Corsair releases guidance

Corsair had its bank meeting on Wednesday and revealed talk on its $235 million seven-year first-lien term loan (B2/B) and $65 million eight-year second-lien term loan (Caa1/CCC+), a market source remarked.

Talk on the first-lien term loan is Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 850 bps with a 1% Libor floor, a discount of 98.5 and call protection of 102 in year one and 101 in year two, the source added.

The company’s $350 million of credit facilities also include a $50 million five-year revolver (B2/B).

Commitments are due on Sept. 20.

Macquarie Capital (USA) Inc. and BNP Paribas Securities Corp. are leading the deal that will help fund the buyout of the company by EagleTree Capital from Francisco Partners and several minority shareholders. The company’s founder and chief executive officer Andy Paul will maintain a sizable equity stake in Corsair and Investment Management Corporation of Ontario and the Honeywell pension will co-invest alongside EagleTree.

Closing is subject to customary conditions.

Corsair is a Fremont, Calif.-based provider of high performance branded computer products.

Conduent reveals terms

Conduent Business Services launched on its call an $846 million senior secured term loan B due Dec. 7, 2023 talked at Libor plus 300 bps to 325 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Citigroup Global Markets Inc. is leading the deal that will be used to reprice an existing term loan B from Libor plus 400 bps with a 0% Libor floor.

Existing lender commitments are due at 5 p.m. ET on Tuesday, new money commitments are due at 5 p.m. ET on Sept. 13 and closing is expected on Oct. 10, the source added.

Conduent is a Florham Park, N.J.-based provider of business process services with expertise in transaction-intensive processing, analytics and automation.

Quintiles comes to market

Quintiles IMS held a call at 2 p.m. ET on Wednesday to launch a $750 million term loan B-2 (Ba1/BBB-) talked at Libor plus 200 bps to 225 bps with no floor, an original issue discount of 99.75 and 101 soft call protection for six months, according to a market source.

Commitments are due on Sept. 13, the source said.

J.P. Morgan Securities LLC is leading the deal that will be used to pay down revolver borrowings.

Quintiles is an information and technology-enabled health care service provider.

Peabody holds call

Peabody Energy held a lender call at 10 a.m. ET to launch a $647.6 million first-lien senior secured term loan B due March 2022 talked at Libor plus 325 bps to 350 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments are due at 5 p.m. ET on Sept. 13, the source added.

Goldman Sachs Bank USA is leading the deal that will reprice an existing term loan B (which is being paid down by $150 million for a pro forma size to $647.6 million) from Libor plus 450 bps with a 1% Libor floor.

Also, with the repricing, the company is seeking an amendment to provide additional flexibility for share repurchases and dividends.

Peabody is a St. Louis-based private sector coal company.

SRAM repricing

SRAM launched with a lender call during the session a $544 million term loan B talked at Libor plus 300 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

J.P. Morgan Securities LLC is leading the deal that will be used to reprice an existing term loan B down from Libor plus 350 bps with a 1% Libor floor.

SRAM is a Chicago-based bicycle components company.

Vantiv coming soon

Vantiv surfaced with plans to hold a lender call at 10 a.m. ET on Thursday to launch $4,236,000,000 in bank debt consisting of a $600 million incremental revolver, a $1,605,000,000 term loan A, a $1.27 billion senior secured term loan B and a repricing of an existing $761 million senior secured term loan B, a market source said.

Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC, MUFG, Banco Bilbao Vizcaya Argentaria, Citizens Bank, Lloyds Bank plc, Mediobanca International (Luxembourg) S.A., Mizuho Bank Ltd., The Royal Bank of Scotland plc (trading as NatWest Markets), Sumitomo Mitsui Banking Corp., UniCredit Bank AG, Barclays, BMO Harris Bank, Capital One and Fifth Third Bank are leading the revolver and term loan A. Morgan Stanley, Credit Suisse and MUFG are leading the term loan B debt.

The revolver and term loan A will be used to support the acquisition of Worldpay Group plc for £0.55 cash for each Worldpay share held and 0.0672 of a New Vantiv share, and the new term loan B will be used to fund a share buyback of 19.8 million shares.

Closing is expected in early 2018, subject to shareholder and regulatory approvals.

Vantiv is a Cincinnati-based merchant and PIN debit acquirer. Worldpay is a London-based payments company. The combined company will be named Worldpay.

McAfee joins calendar

McAfee scheduled a lenders’ presentation for 11 a.m. ET on Thursday to launch $4.75 billion of senior secured credit facilities, according to a market source.

The facilities consist of a $500 million revolver, a $3.5 billion first-lien term loan B and a $750 million second-lien term loan, the source said.

Morgan Stanley Senior Funding Inc., J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Goldman Sachs Bank USA, Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., RBC Capital Markets LLC and Mizuho Bank Ltd. are leading the deal that will be used to refinance the existing Intel seller financing, pay a dividend to equity holders, and pay fees and expenses.

McAfee is a Santa Clara, Calif.-based cybersecurity company.

Tronox deal surfaces

Tronox will hold a bank meeting at 10 a.m. ET on Thursday to launch a $2.15 billion term loan B, market sources remarked.

Whispered talk on the term loan B is Libor plus 325 bps to 350 bps with no floor and an original issue discount of 99.5, one source said, adding that official price talk is not yet out.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Wells Fargo Securities LLC, UBS Investment Bank, RBS, Credit Suisse Securities (USA) LLC and Barclays are leading the loan that will be used with new notes to refinance existing debt and for acquisition financing.

Tronox is a Stamford, Conn.-based mining and inorganic chemical company.

Education Advisory timing

Education Advisory Board set a bank meeting for 2:30 p.m. ET on Thursday to launch its $610 million of first-lien credit facilities, according to a market source. The deal had previously been labeled as early September business with the specific date still to be determined.

The first-lien debt consists of a $70 million five-year revolver and a $540 million seven-year covenant-light first-lien term loan.

The company is also getting a $260 million eight-year second-lien term loan that has been privately placed.

Macquarie Capital (USA) Inc. and Antares Capital are leading the deal that will be used to help fund the buyout of the company by Vista Equity Partners from the Advisory Board Co. for $1.55 billion, subject to customary adjustments.

Closing is expected by the end of this year or in early 2018, subject to customary conditions.

Education Advisory Board is a best practices firm that uses a combination of research, technology and services to improve the performance of educational institutions.

MRC on deck

MRC Global will hold a lender call on Thursday to launch its $400 million seven-year senior secured term loan B, a market source remarked.

Talk on the term loan B is Libor plus 350 bps to 375 bps with a 1% Libor floor, an original issue discount of 99.75 and 101 soft call protection for six months, the source continued.

J.P. Morgan Securities LLC is leading the deal that will be used with a draw under an existing asset-based facility to refinance a $414 million senior secured term loan B due November 2019.

In connection with this transaction, the company plans to amend the existing asset-based facility to change the size to $800 million and extend the maturity to 2022.

MRC is a Houston-based distributor of pipe, valve, fittings and related products and services to the energy industry.

TTM plans refinancing

TTM Technologies set a conference call for 2 p.m. ET on Thursday to launch a $350 million seven-year senior secured first-lien term loan that will be used to repay an existing term loan B and revolving credit facility borrowings, a market source said.

Barclays and J.P. Morgan Securities LLC are leading the deal.

TTM Technologies is a Costa Mesa, Calif.-based printed circuit board manufacturer.

EagleView schedules call

EagleView Technology plans to hold a lender call at 11 a.m. ET on Friday to launch a $100 million incremental first-lien term loan B, according to a market source.

Morgan Stanley Senior Funding Inc. and Nomura Securities International Inc. are leading the deal that will be used to repay an existing second-lien term loan and accrued interest, and to pay fees and expenses related to the financing.

EagleView is a Bothell, Wash.-based technology provider of aerial imagery, data analytics and GIS solutions.

Aristocrat readies loan

Aristocrat Leisure set a call for 10 a.m. ET on Thursday to launch a new loan transaction to existing and prospective lenders, a market source said.

Citigroup Global Markets Inc. is leading the deal.

Aristocrat Leisure is a Sydney, Australia-based provider of gaming services.

Diversey closes

In other news, the buyout of Diversey (Diamond BC BV) by Bain Capital Private Equity from Sealed Air Corp. for about $3.2 billion has been completed, a news release said.

To help fund the transaction, Diversey got a $250 million revolver, a $900 million seven-year covenant-light first-lien term loan and a €970 million seven-year covenant-light first-lien term loan.

Pricing on the U.S. term loan is Libor plus 300 bps with a step-down and a 0% Libor floor and pricing on the euro term loan is Euribor plus 325 bps with a step-down and a 0% floor. Both loan were sold at an original issue discount of 99.75 and have 101 soft call protection for six months.

During syndication, pricing on the U.S. term loan was lowered from talk in the range of Libor plus 325 bps to 350 bps, the euro term loan was upsized from €820 million with the downsizing of a bond offering to €450 million from €545 million and pricing was trimmed from talk in the range of Euribor plus 350 bps 375 bps, and the discount on both terms loans was changed from 99.5.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Bank of America Merrill Lynch, Barclays, Citigroup Global Markets Inc., RBC Capital Markets LLC, HSBC, SunTrust Robinson Humphrey Inc. and Jefferies LLC led the deal for the hygiene and cleaning solutions company.

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