DexKo talks $300 million incremental loan at SOFR plus 450-475 bps, OID of 96

By Paul A. Harris

Portland, Ore., July 17 – DexKo Global Inc. launched a $300 million incremental term loan (B2/B-) with spread talk of SOFR plus 450 basis points to 475 bps and an original issue discount of 96 on Monday according to a market source.

The loan matures on Oct. 4, 2028, coterminous with the existing term loan.

The deal comes without a floor. It features 101 soft call protection for six months and amortizes at a 1% annual rate.

Goldman Sachs is the left arranger. Deutsche Bank, Credit Suisse, BMO, RBC, BofA, Barclays, TD, CIBC and BNP are the joint arrangers.

Morgan Stanley and Brookfield Capital Solutions are the co-managers.

The Novi, Mich.-based producer of highly engineered products for towable industrial and recreational trailers plans to use the proceeds to refinance its dollar-denominated first-lien seller term loan and repay its ABL revolver.

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