Press Ganey, Focus Financial, SRAM deal updates surface; Citgo, Mannington adjust deadlines

By Sara Rosenberg

New York, July 22 – In the primary market on Monday, Press Ganey Associates Inc. (Emerald TopCo Inc.) lowered the spread on its term loan and tightened the original issue discount, and Focus Financial Partners Inc. finalized the issue price on its add-on term loan B at the tight end of guidance.

Also, SRAM LLC changed the original issue discount on its delayed-draw term loan B, Citgo Holding Inc. and Mannington Mills moved up the commitment deadlines for their term loans, and Access CIG LLC and LegalShield disclosed price talk with launch.

In addition, DaVita Inc., CityMD (WP CityMD Bidco LLC), Jaggaer, Kaman Distribution Group (Ruby Holdings II LLC), AmWINS Group LLC and Knowlton Development Corp. Inc. joined this week’s primary calendar.

Press Ganey revised

Press Ganey trimmed pricing on its $1.25 billion seven-year first-lien term loan to Libor plus 350 basis points from talk in the range of Libor plus 375 bps to 400 bps and adjusted the original issue discount to 99.5 from 99, according to a market source.

Additionally, the MFN was changed to 50 bps for 12 months from 75 bps, the ratio debt was revised to unlimited investment amounts up to 0.5x less than closing date first-lien net leverage from 0.25x, and a clause was removed from the inside maturity exception, the source said.

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

The company’s $1.5 billion of credit facilities (B2/B) also include a $250 million revolver.

Commitments were scheduled to be due at 5 p.m. ET on Monday, the source added.

Press Ganey leads

Barclays, Citigroup Global Markets Inc., Goldman Sachs Bank USA, J.P. Morgan Securities LLC, BMO Capital Markets and Deutsche Bank Securities Inc. are leading Press Ganey’s credit facilities.

The new bank debt will be used with $453 million of second-lien notes privately placed with Goldman Sachs Merchant Banking Division and GIC to help fund the buyout of the company by Leonard Green & Partners LP and Ares Management Corp.

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

Press Ganey is a South Bend, Ind.-based provider of patient experience measurement and performance improvement solutions to health care organizations.

Focus Financial updated

Focus Financial set the original issue discount on its fungible $300 million add-on term loan B at 99.75, the tight end of the 99.5 to 99.75 talk, a market source remarked.

The add-on term loan is priced at Libor plus 250 bps with a 0% Libor floor and has 101 soft call protection for six months.

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

RBC Capital Markets, BMO Capital Markets, BofA Securities Inc., SunTrust Robinson Humphrey Inc., Capital One, KKR Capital Markets, Fifth Third, Goldman Sachs Bank USA, MUFG and Regions Bank are leading the deal that will be used to repay revolver borrowings.

Closing is expected this month.

Focus Financial is a New York-based partnership of independent, fiduciary wealth management firms.

SRAM tweaked

SRAM tightened the original issue discount on its $150 million add-on delayed-draw term loan B (B1/BB-) to 99.75 from talk in the range of 99 to 99.5, according to a market source.

The add-on loan is still priced at Libor plus 275 bps with a 1% Libor floor.

Books closed at 2 p.m. ET on Monday, the source added.

J.P. Morgan Securities LLC is leading the deal that will be used to fund a distribution to shareholders.

SRAM is a Chicago-based bicycle components company.

Citgo revises timing

Citgo accelerated the commitment deadline for its $500 million four-year senior secured first-lien term loan (Caa1/B/B+) to 5 p.m. ET on Tuesday from noon ET on Thursday, a market source said.

Talk on the term loan is Libor plus 725 bps to 750 bps with a 1% Libor floor, an original issue discount of 98 and call protection of non-callable for one year, then at 101 in year two.

Jefferies LLC is the left lead arranger on the deal that will be used with a new $1.37 billion senior secured notes offering and cash on hand to redeem all of the company’s $1.87 billion 10¾% senior secured notes due 2020 and to pay related accrued interest and redemption premiums.

Citgo is a Houston-based owner and operator of three large-scale, highly complex refineries.

Mannington accelerated

Mannington Mills moved up the commitment deadline for its $300 million seven-year term loan B (B1/BB-) to 5 p.m. ET on Tuesday from Wednesday, according to a market source.

The term loan is talked at Libor plus 400 bps to 425 bps with a 0% Libor floor and an original issue discount of 99.

The company’s $425 million of credit facilities also include a $125 million asset-based revolver.

RBC Capital Markets and SunTrust Robinson Humphrey are leading the term loan, and BofA Securities Inc. is the left lead on the revolver.

Proceeds will be used to refinance existing debt.

Pro forma net leverage is 3.2x.

Closing is expected this week.

Mannington Mills is a Salem, N.J.-based manufacturer of flooring solutions to the commercial and residential construction markets.

Access CIG guidance

In more primary happenings, Access CIG LLC held its lender call on Monday and launched its fungible $150 million incremental first-lien term loan (B2/B) due February 2025 with original issue discount talk in the 99.25 area, a market source said.

The add-on term loan is priced at Libor plus 375 bps with a 0% Libor floor, in line with the existing term loan, and has 101 soft call protection for six months.

Commitments are due at 4 p.m. ET on Friday.

The company is also getting a fungible $50 million incremental first-lien delayed-draw term loan (B2/B) that has been privately placed.

Jefferies LLC, Golub, Macquarie Capital (USA) Inc. and Nomura are leading the deal that will be used to fund 13 immediately actionable acquisitions under letters of intent.

Access CIG is a Livermore, Calif.-based provider of physical and digital records and information management services.

LegalShield OID talk

LegalShield came out with original issue discount talk of 99.5 on its fungible $60 million add-on first-lien term loan B due May 1, 2025 that launched with a lender call in the afternoon, according to a market source.

The add-on first-lien term loan is priced at Libor plus 325 bps with a 0% Libor floor.

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

RBC Capital Markets is the left lead on the deal that will be used to repay revolver borrowings and consummate near-term acquisitions.

The company’s existing first-lien term loan B is sized at $678 million.

LegalShield is an Ada, Okla.-based provider of legal plans and identity theft solutions.

DaVita joins calendar

DaVita emerged with plans to hold a bank meeting at 10 a.m. ET in New York on Wednesday to launch a $2.5 billion seven-year term loan B that has 101 soft call protection for six months, a market source remarked.

Commitments are due at 3 p.m. ET on Aug. 7, the source added.

The company’s $5.25 billion of senior secured credit facilities (Ba1/BBB-) also include a $1 billion five-year revolver and a $1.75 billion five-year term loan A.

Wells Fargo Securities LLC, Credit Agricole, J.P. Morgan Securities LLC, MUFG, BofA Securities Inc., Barclays, Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc. and SunTrust Robinson Humphrey Inc. are leading the deal, which will be used to repay revolver and term loan borrowings, to redeem the $1.25 billion 5.75% senior notes due 2022, to buy back common stock, to pay fees and expenses, and for general corporate purposes.

DaVita is a Denver-based provider of kidney dialysis services to patients with chronic kidney failure.

CityMD schedules meeting

CityMD set a bank meeting for 1 p.m. ET in New York on Tuesday to launch $1.05 billion of credit facilities, according to a market source.

The facilities consist of a $150 million revolver and a $900 million seven-year covenant-lite first-lien term loan, the source said.

The term loan has 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on Aug. 6, the source added.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, BofA Securities Inc., Jefferies LLC, KeyBanc Capital Markets, ING, SunTrust Robinson Humphrey Inc., Regions Bank and Houlihan Lokey are leading the deal that will be used to fund the acquisition of Summit Medical Group, a multispecialty medical group, and to refinance existing debt.

CityMD is an urgent care provider.

Jaggaer coming soon

Jaggaer will hold a bank meeting at 10 a.m. ET in New York on Wednesday to launch a $510 million first-lien term loan, a market source said.

Goldman Sachs Bank USA, UBS Investment Bank, Antares Capital and CPPIB are leading the deal that will be used to help fund the buyout of the company by Cinven from Accel-KKR.

Jaggaer is a Research Triangle Park, N.C.-based cloud-based suite of SaaS solutions to help corporations track, manage, and control vendor expenses.

Kaman Distribution on deck

Kaman Distribution Group set a bank meeting for Wednesday to launch $510 million of credit facilities, according to a market source.

The facilities consist of a $75 million five-year ABL revolver, a $320 million seven-year first-lien term loan and a $115 million eight-year second-lien term loan, the source added.

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

Jefferies LLC, Antares Capital and BMO Capital Markets are leading the deal that will be used to help fund the buyout of the company by Littlejohn & Co. from Kaman Corp. for $700 million, subject to customary closing conditions and working capital adjustments.

Closing is expected in the third quarter.

Kaman Distribution is a distributor of bearings and power transmission, automation, and fluid power products.

AmWINS plans incremental

AmWINS will hold a lender call at 2 p.m. ET on Tuesday to launch a fungible $250 million incremental first-lien term loan, a market source remarked.

Goldman Sachs Bank USA, Barclays, J.P. Morgan Securities LLC and Wells Fargo Securities LLC are leading the deal that will be used for general corporate purposes, which will include acquisitions currently under letters of intent.

AmWINS is a Charlotte, N.C.-based specialty insurance broker.

Knowlton readies loan

Knowlton Development scheduled a lender call for 10 a.m. ET on Tuesday to launch an $85 million incremental first-lien term loan due Dec. 21, 2025, according to a market source.

Jefferies LLC is the left lead on the deal that will be used to fund an acquisition.

Knowlton Development is a Quebec-based custom formulator and solution services partner to beauty, personal care and home/industrial care companies.

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