CityMD, ICP break; PetVet, Women’s Care, Cole-Parmer updates emerge; PrimeSource accelerated

By Sara Rosenberg

New York, Jan. 14 – CityMD’s (WP CityMD Bidco LLC) first-lien term loan freed to trade on Thursday, with levels quoted above its issue price, and ICP Group’s first-and second-lien term loans hit the secondary market as well.

Moving to the primary market, PetVet Care Centers LLC increased the size of its incremental first-lien term loan B-3 and tightened the issue price, and trimmed the spread on the incremental debt and the repricing of its existing term loan B-3.

Also, Women’s Care Holdings Inc. LLC finalized pricing on its first-lien term loan at the low end of guidance, Cole-Parmer Instrument Co. LLC (CPI HoldCo LLC) adjusted the issue price on its incremental first-lien term loan, and PrimeSource (Park River Holdings Inc.) accelerated the commitment deadline for its first-lien term loan B.

In addition, Westinghouse (Brookfield WEC Holdings Inc.), Option Care Health Inc., Vestcom Parent Holdings Inc. and First Advantage announced price talk with launch, and RV Retailer joined the near-term primary calendar.

CityMD hits secondary

CityMD’s $891 million covenant-lite first-lien term loan (B-) due August 2026 began trading in the morning, with levels quoted at par ¼ bid, par ¾ offered, a market source said.

Pricing on the term loan is Libor plus 375 basis points with a 0.75% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan was reduced from Libor plus 400 bps.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, ING, Mizuho, Jefferies LLC, KeyBanc Capital Markets and Truist are leading the deal that will be used to reprice an existing term loan down from Libor plus 450 bps with a 1% Libor floor.

CityMD is an outpatient-focused physician group.

ICP frees up

ICP Group’s bank debt also broke for trading, with the $825 million seven-year first-lien term loan (B3/B) quoted at par ½ bid, 101 offered and the $225 million eight-year second-lien term loan (Caa2/CCC) quoted at par bid, 102 offered, according to a market source.

Pricing on the first-lien term loan is Libor plus 375 bps with a 25 bps step-down at 4.35x net first-lien leverage, a 25 bps step-down upon an initial public offering and a 0.75% Libor floor, The debt was sold at an original issue discount of 99.5 and has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 775 bps with a 0.75% Libor floor and was issued at a discount of 98.5. This tranche has hard call protection of 102 in year one and 101 in year two.

During syndication, pricing on the first-lien term loan was reduced from Libor plus 400 bps and the discount was revised from 99, and pricing on the second-lien term loan was cut from Libor plus 800 bps and the discount was tightened from 98.

ICP funding acquisition

Proceeds from ICP Group’s $1.05 billion of term loans will be used to finance the acquisition of Gardner-Gibson and Sun Coatings, a Tampa, Fla.-based manufacturer of liquid-applied roof coatings, roofing products, driveway sealers and specialty paints, and to refinance existing debt.

J.P. Morgan Securities LLC, BMO Capital Markets, Antares Capital and Goldman Sachs Bank USA are leading the deal.

ICP Group, an Audax Private Equity portfolio company, is an Andover, Mass.-based manufacturer of specialty coatings, adhesives and sealants.

PetVet revised

Switching to the primary market, PetVet raised its fungible incremental first-lien term loan B-3 due February 2025 to $300 million from $250 million and changed the issue price to par from talk in the range of 99.5 to 99.75, according to a market source.

Also, the company lowered pricing on the incremental term loan and the repricing of its existing roughly $373 million first-lien term loan B-3 due February 2025 to Libor plus 350 bps from Libor plus 400 bps, the source said.

The repricing is still offered at par, and the term loan debt still has a 0.75% Libor floor and 101 soft call protection for six months.

Commitments and consents remained due at 2 p.m. ET on Thursday, the source added.

Jefferies LLC and KKR Capital Markets are leading the deal.

The incremental loan will be used to finance the company’s acquisition pipeline and fund cash to the balance sheet, and the repricing will take the existing loan down from Libor plus 425 bps with a 1% Libor floor.

PetVet is a Westport, Conn.-based operator of general practice and specialty veterinary hospitals.

Women’s Care updated

Women’s Care Holdings set the spread on its $360 million seven-year covenant-lite first-lien term loan (B-) at Libor plus 450 bps, the low end of the Libor plus 450 bps to 475 bps talk, and made a couple of minor lender friendly revisions to the credit agreement, a market source remarked.

The first-lien term loan still has a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

As before, the company’s $120 million eight-year covenant-lite second-lien term loan (CCC) is priced at Libor plus 825 bps with a 0.75% Libor floor and a discount of 98, and has hard call protection of 102 in year one and 101 in year two.

The company’s $550 million of credit facilities also include a $70 million five-year revolver (B-).

Women’s Care leads

Jefferies LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., RBC Capital Markets, Macquarie Capital (USA) Inc. and Nomura are leading Women’s Care’s credit facilities, with Jefferies the left lead on the first-lien debt and Credit Suisse the left lead on the second-lien debt.

Commitments were due at 5 p.m. ET on Thursday, the source added.

The new debt will be used to help fund the buyout of the company by BC Partners.

Women’s Care is a women’s health platform dedicated to providing the highest quality obstetrics, gynecology and fertility care for its patients.

Cole-Parmer tightened

Cole-Parmer changed the issue price on its fungible $125 million incremental first-lien term loan due Nov. 4, 2026 to par from talk in the range of 99.5 to 99.75, a market source said.

The incremental loan and repricing of the company’s existing roughly $868 million first-lien term loan due Nov. 4, 2026 are still priced at Libor plus 400 bps with a 25 bps leveraged-based step-down and a 0% Libor floor.

As before, the repricing is offered at par and all of the first-lien term loan debt will have 101 soft call protection for six months.

Commitments are due at 10 a.m. ET on Friday, moved up from noon ET on Friday, the source added.

The company is also getting a $65 million privately placed incremental second-lien term loan.

Jefferies LLC is leading the deal.

The incremental term loans will be used to fund an acquisition, and the repricing will take the existing first-lien term loan down from Libor plus 425 bps with a 0% Libor floor.

Cole-Parmer is a Vernon Hills, Ill.-based manufacturer of peristaltic, temperature monitoring, and environmental precision equipment/consumables used in research and production applications.

PrimeSource accelerated

PrimeSource moved up the commitment deadline for its $1.095 billion seven-year covenant-lite first-lien term loan B (B2/B/B+) to noon ET on Tuesday from Jan. 21, according to a market source.

Talk on the term loan is Libor plus 400 bps to 425 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC, RBC Capital Markets, Wells Fargo Securities LLC, Nomura, Golub and Antares Capital are leading the deal that will be used to back the buyout of PriSo Holding Corp. (PrimeSource) by Clearlake Capital Group LP from Platinum Equity, which was completed last month, and merger with TKE Holdings Inc. (Dimora Brands).

PrimeSource is an Irving, Tex.-based provider of construction fastening solutions and other complementary specialty building products. Dimora is a provider of specialty hardware and home accessories.

Westinghouse repricing

Westinghouse emerged in the morning with plans to hold a lender call at 3 p.m. ET to launch a $3 billion first-lien term loan (B2/B/B+) due August 2025 talked at Libor plus 275 bps with a 25 bps step-down at B1/B+ corporate ratings with stable outlooks, a 0.5% 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 Wednesday, the source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to reprice an existing term loan. The company obtained the term loan last year at pricing of Libor plus 300 bps with a 25 bps step-down at B1/B+ corporate ratings with stable outlooks and a 0.75% Libor floor.

Westinghouse is a Pittsburgh-based provider of infrastructure services to a nuclear reactor fleet.

Option Care talk

Option Care Health came out with original issue discount of 99.5 on its fungible $250 million add-on term loan that launched with a call in the afternoon, a market source said.

Pricing on the add-on term loan is Libor plus 450 bps with a 0% Libor floor, in line with existing term loan pricing.

Commitments are due at 2 p.m. ET on Friday, the source added.

BofA Securities Inc. is leading the deal that will be used to repay existing second-lien PIK notes.

Option Care is a Bannockburn, Ill.-based provider of home and alternate treatment site infusion therapy services.

Vestcom launches

Vestcom launched on its Thursday call its fungible $100 million incremental first-lien term loan with original issue discount talk of 99.55, according to a market source.

Like the existing $419 million first-lien term loan, the incremental term loan is priced at Libor plus 400 bps with a 1% Libor floor.

The first-lien term loan debt is getting 101 soft call protection for six months, the source said.

Commitments are due on Jan. 21.

Antares Capital is leading the deal that will be used to fund a distribution to shareholders.

A 12.5 bps amendment fee is being offered to all consenting lenders, the source added.

Pro forma for the transaction, net first-lien will be 3.7x and net total leverage will be 5.1x based on pro forma adjusted EBITDA of $139.9 million.

Vestcom, a Charlesbank Capital Partners portfolio company, is a Little Rock, Ark.-based provider of outsourced technology and services that support price communication, merchandising and promotion execution at the shelf edge.

First Advantage guidance

First Advantage held its call in the afternoon and announced original issue discount talk of 99 on its fungible $100 million add-on term loan, a market source remarked.

Pricing on the add-on term loan is Libor plus 350 bps with a 0% Libor floor, in line with existing term loan pricing.

Commitments are due at noon ET on Jan. 21, the source added.

BofA Securities Inc. is leading the deal that will be used to repay a privately placed second-lien term loan.

First Advantage is an Atlanta-based provider of comprehensive background screening, identity and information solutions.

RV Retailer on deck

RV Retailer scheduled a lender call for 1 p.m. ET on Tuesday to launch a $420 million term loan B (B+), according to a market source.

Goldman Sachs Bank USA is the left lead on the deal that will be used to recapitalize the company’s balance sheet and fund near-term dealership acquisitions.

RV Retailer, a Redwood Capital portfolio company, is a recreational vehicle retail company.

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