Golden Nugget, Greenway break; Pike, Applied Systems, McAfee, Tronox, Quintiles revised

By Sara Rosenberg

New York, Sept. 13 – Golden Nugget Inc. reduced the size of its incremental first-lien term loan and adjusted the issue price before freeing up for trading on Wednesday, and Greenway Health LLC’s loan emerged in the secondary market as well.

In more happenings, Pike Corp. set the spread on its term loan B at the low end of talk and tightened the issue price on new money, Applied Systems Inc. modified spreads and issue prices on its first-and second-lien term loans, McAfee LLC decided to scale back its U.S. first-lien term loan B amount and introduce a new euro term loan B to the capital structure, and Tronox Finance LLC lowered the spread on its term loan B, added a step-down and sweetened the call protection.

Also, Quintiles IMS Holdings Inc. firmed pricing on its term loan B-2 at the low side of guidance and updated the issue price, EagleView Technology Corp. and Intrawest Resorts Holdings Inc. (Hawk Holding Co. LLC) revised the original issue discounts on their add-on term loans, and PlayCore and TTM Technologies Inc. accelerated the commitment deadlines on their first-lien term loans.

Additionally, PharMerica Corp., International Car Wash Group and HUB International Ltd. released price talk with launch, Multi-Color Corp. came out with timing on its term loan B bank meeting, and Brooks Automation Inc., The Pasha Group and Donnelley Financial Solutions Inc. surfaced with new deal plans.

Golden Nugget tweaked

Golden Nugget downsized its incremental first-lien term loan due Oct. 4, 2023 to $1,045,000,000 from $1.08 billion and tightened the issue price to par from 99.5, according to a market source.

The term loan is priced at Libor plus 325 basis points with a 0.75% Libor floor, and has 101 soft call protection for six months.

On Monday, pricing on the term loan was lowered from Libor plus 350 bps.

As part of this transaction the company is increasing its revolver commitments by $35 million to $235 million, and pricing on the company’s existing term loan is being increased from Libor plus 275 bps with a 0.75% Libor floor to match the new loan pricing.

Golden Nugget frees up

With final terms in place, Golden Nugget’s term loan broke for trading on Wednesday, and levels were quoted at par 1/8 bid, par ½ offered, a trader remarked.

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

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

Greenway hits secondary

Greenway Health’s $530 million senior secured first-lien term loan (B3/B-) due Feb. 16, 2024 began trading too, with levels quoted at par ¼ bid, par ¾ offered, a market source said.

Pricing on the term loan is Libor plus 425 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC is leading the deal that will be used to reprice an existing term loan from Libor plus 475 bps with a 1% Libor floor.

The company is also repricing its $30 million senior secured revolver (B3/B-) due Feb. 16, 2022 to Libor plus 425 bps, subject to leverage-based grid, with a 0% Libor floor.

Greenway Health is a Carrollton, Ga.-based provider of clinical, financial, connectivity and information software products and services to physician practices.

Pike revises loan

Back in the primary market, Pike finalized pricing on its $630 million seven-year senior secured covenant-light term loan B (B2/B) at Libor plus 350 bps, the low end of the Libor plus 350 bps to 375 bps talk, and revised the issue price on new money to par from 99.5, a market source remarked.

As before, the term loan has a par issue price on existing money, a 1% Libor floor and 101 soft call protection for six months.

Commitments/consents were due at noon ET on Wednesday, 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.

Closing is expected on Sept. 20.

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

Applied Systems flexes

Applied Systems lowered pricing on its $1.03 billion seven-year first-lien term loan B (B1/B) to Libor plus 325 bps from Libor plus 350 bps, added a step-down to Libor plus 300 bps at 4.75 times net first-lien leverage and modified the issue price to par from 99.5, while leaving the 1% Libor floor and 101 soft call protection for six months unchanged, according to a market source.

Additionally, the company cut pricing on its $495 million eight-year second-lien term loan (Caa2/CCC) to Libor plus 700 bps from talk of Libor plus 725 bps to 750 bps and revised the issue price to par from 99, the source said. This tranche still has a 1% Libor floor and hard call protection of 102 in year one and 101 in year two.

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

Recommitments were due at 5 p.m. ET on Wednesday, allocations are expected on Thursday and closing is targeted for some time next week, 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.

McAfee restructures

McAfee cut its U.S. seven-year covenant-light first-lien term loan B (B1/B) to $3.05 billion from $3.5 billion and added a €375 million ($450 million equivalent) seven-year covenant-light first-lien term loan B to its transaction, according to a market source.

Talk on the euro first-lien term loan B is Euribor plus 375 bps to 400 bps with a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months, the source said.

The company’s $4.75 billion of senior secured credit facilities also include a $500 million five-year revolver (B1/B) and a $750 million eight-year covenant-light second-lien term loan (Caa1/B-).

As before, talk on the U.S. first-lien term loan B is Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, talk on the revolver is Libor plus 375 bps to 400 bps with a 0% Libor floor, and talk on the second-lien term loan is Libor plus 775 bps to 800 bps with a 1% Libor floor, a discount of 98.5 and hard call protection of 102 in year one and 101 in year two.

McAfee lead banks

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, UBS Investment Bank and Mizuho Bank Ltd. are leading McAfee’s credit facilities, with Morgan Stanley the left lead on the first-lien and JPMorgan the left lead on the second-lien.

Commitments are due on Sept. 21.

The credit facilities 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 modifies loan

Tronox reduced the spread on its $2.15 billion seven-year covenant-light term loan B (Ba3/BB-) to Libor plus 300 bps from talk of Libor plus 325 bps to 350 bps, added a step-down to Libor plus 275 bps at 2 times net secured leverage and pushed out the 101 soft call protection to one year from six months, a market source said.

The term loan still has a 0% Libor floor and an original issue discount of 99.5.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, RBC Capital Markets and Barclays are leading the deal that will be used with $450 million in senior unsecured notes to refinance existing debt and fund the acquisition of the titanium dioxide assets of Cristal.

Closing is targeted for Sept. 22.

In connection with this transaction, the company is looking to upsize its ABL facility to $550 million.

Pro forma secured net leverage will be 2.9 times and total net leverage will be 4.3 times based on pro forma June 30 unaudited adjusted EBITDA of $731 million.

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

Quintiles changes emerge

Quintiles IMS finalized pricing on its $750 million term loan B-2 (Ba1/BBB-) at Libor plus 200 bps, the low end of the Libor plus 200 bps to 225 bps talk, and modified the issue price according to par from 99.75, according to a market source.

The loan still has a 0% Libor floor and 101 soft call protection for six months.

Recommitments were due at 4 p.m. ET on Wednesday, 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.

EagleView adjusts OID

EagleView Technology changed the original issue discount on its fungible $100 million add-on covenant-light first-lien term loan B due July 15, 2022 to 99.75 from 99.5, a market source remarked.

Pricing on the loan is Libor plus 425 bps with a 1% Libor floor.

Commitments remained due at 4 p.m. ET on Wednesday, the source added.

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.

Intrawest updated

Intrawest Resorts tightened the original issue discount on its $200 million add-on term loan to 99.75 from 99.5, according to a market source.

As before, pricing on the add-on loan is Libor plus 325 bps with a 1% Libor floor and the debt is getting 101 soft call protection for six months.

J.P. Morgan Securities LLC is leading the deal that will be used to fund the acquisition of Deer Valley Resort, a Park City, Utah-based mountain resort.

The transaction is subject to certain closing conditions and is anticipated to close prior to the upcoming 2017-2018 ski season.

Intrawest is a Denver-based mountain resort and adventure company.

PlayCore moves deadline

PlayCore accelerated the commitment deadline on its $370 million seven-year first-lien term loan (B2/B) and $50 million delayed-draw first-lien term loan (B2/B) to 5 p.m. ET on Thursday from Monday, a market source said, adding that allocations are expected on Friday.

Talk on the term loan debt is 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.

The company’s $635 million of senior secured credit facilities also provide for 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.

TTM accelerated

TTM Technologies moved up the commitment deadline on its $350 million seven-year senior secured covenant-light first-lien term loan (Ba3/BBB-) to 5 p.m. ET on Wednesday from noon ET on Friday, according to a market source.

The term loan is talked at Libor plus 300 bps to 325 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Barclays and J.P. Morgan Securities LLC are leading the deal that will be used with $375 million of senior notes to repay an existing term loan B and revolver borrowings.

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

PharMerica reveals guidance

Also in the primary market, PharMerica held its bank meeting on Wednesday and with the event price talk was announced on its $815 million seven-year first-lien term B (B1/B) and $185 million eight-year second-lien term loan (Caa1/CCC+), a market source remarked.

The first-lien term loan is talked at Libor plus 400 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 800 bps to 825 bps with a 1% Libor floor, a discount of 98.5 and hard call protection of 102 in year one and 101 in year two, the source continued.

The company’s $1.1 billion of secured credit facilities also include a $100 million revolver (B1/B).

Commitments are due on Sept. 26, the source added.

PharMerica being acquired

Proceeds from PharMerica’s credit facilities will be used with $450 million of equity and cash on hand to fund its buyout by KKR for $29.25 in cash per share. The all-cash transaction is valued at about $1.4 billion, including the assumption or repayment of debt.

In connection with the buyout, Walgreens Boots Alliance Inc. will become a minority investor in the company.

Goldman Sachs Bank USA, KKR Capital Markets, Morgan Stanley Senior Funding Inc., Wells Fargo Securities LLC and Jefferies LLC are leading the debt.

Closing is expected by early 2018, subject to PharMerica shareholder approval, regulatory approvals and other customary conditions.

PharMerica is a Louisville, Ky.-based provider of pharmacy services.

International Car sets talk

International Car Wash Group released talk on its $450 million seven-year first-lien term loan (B1/B) and $200 million eight-year second-lien term loan (Caa1/CCC+) with its afternoon bank meeting, according to a market source.

Talk on the first-lien term loan is 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, and talk on the second-lien term loan is Libor plus 775 bps to 800 bps with a 1% Libor floor, a discount of 98.5 and hard call protection of 102 in year one and 101 in year two, the source said.

The company’s $725 million of senior secured credit facilities also include a $75 million revolver (B1/B).

Commitments are due on Sept. 26, the source added.

Goldman Sachs Bank USA, Jefferies LLC, Barclays and Credit Suisse Securities (USA) LLC are leading the deal that will be used to help fund the buyout of the company by Roark Capital Group from TDR Capital LLP.

Closing is expected in the fourth quarter.

International Car Wash is a United Kingdom-based car wash operator.

HUB terms emerge

HUB International held its lender call in the morning, launching its fungible $350 million add-on term loan B (B) due Oct. 2, 2020 with original issue discount talk of 99.75, a market source said.

The add-on term loan is priced in line with the existing term loan B, which is Libor plus 325 bps at more than 4 times net first-lien leverage and Libor plus 300 bps at less than or equal to 4 times net first-lien leverage. The company is currently at the Libor plus 300 bps rate, but the spread will step-up to Libor plus 325 bps since pro forma leverage will be above 4 times, the source added. The debt has a 1% Libor floor.

Commitments are due at noon ET on Monday.

Nomura and Macquarie Capital (USA) Inc. are leading the deal that will be used to repay revolver borrowings and to fund cash to the balance sheet.

HUB is a Chicago-based insurance brokerage.

Multi-Color timing surfaces

Multi-Color emerged with plans to hold a bank meeting on Monday to launch its previously announced $400 million seven-year term loan B, a market source remarked.

The company’s $1.05 billion senior secured credit facilities (BB+) also include $400 million five-year revolver and a $250 million five-year term loan A.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, BMO Capital Markets and KeyBanc Capital Markets are leading the deal that will be used with $480 million in senior notes to fund the acquisition of the labels division of Constantia Flexibles GmbH, to refinance an existing revolver and for general corporate purposes.

The transaction purchase price is about $1.3 billion and will be settled in cash and 3.4 million shares of Multi-Color stock issued to Constantia Flexibles at a price of $75.00 per share.

Pro forma leverage for the transaction will be around 5 times net debt to EBITDA.

Closing is expected in the fiscal quarter ending Dec. 31, subject to customary conditions.

Multi-Color is a Cincinnati-based label maker.

Brooks readies deal

Brooks Automation set a lenders’ presentation for 11 a.m. ET on Thursday to launch a $200 million senior secured term loan B, according to a market source.

Morgan Stanley Senior Funding Inc., J.P. Morgan Securities LLC and Wells Fargo Securities LLC are leading the deal that will be used for general corporate purposes, including to prefund acquisitions.

Brooks Automation is a Chelmsford, Mass.-based provider of automation and cryogenic solutions for multiple markets including semiconductor manufacturing and life sciences.

Pasha Group on deck

Pasha Group scheduled a bank meeting for 11 a.m. ET on Thursday to launch a $260 million six-year term loan B, a market source remarked.

Bank of America Merrill Lynch is leading the deal that will be used to refinance existing debt.

Pasha Group is a San Rafael, Calif.-based diversified logistics and transportation services company.

Donnelley coming soon

Donnelley Financial Solutions will hold a lender call at 1 p.m. ET on Thursday to launch a $230.4 million term loan B due 2023 talked at Libor plus 300 bps to 325 bps with a 0.75% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on Sept. 21, the source said.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance an existing term loan.

Donnelley Financial is a Chicago-based financial communications services company.

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