Odyssey Logistics to launch $377 million of term loans on Thursday

By Sara Rosenberg

New York, Oct. 31 – Odyssey Logistics & Technology Corp. is set to hold a bank meeting at 10 a.m. ET on Thursday to launch $377 million of fungible incremental term loans, according to a market source.

Credit Suisse Securities (USA) LLC is the left lead bank on the deal.

The debt consists of a $307 million incremental first-lien term loan due October 2024, of which $50 million is a delayed-draw tranche, and a $70 million incremental second-lien term loan due October 2025, the source said.

The delayed-draw term loan has six months availability and a 1% fee after 90 days.

Price talk on the incremental first-lien term loan is Libor plus 375 basis points to 400 bps with a 1% Libor floor and an original issue discount of 99.5, and talk on the incremental second-lien term loan is Libor plus 800 bps with a 1% Libor floor and a discount of 99, the source continued.

The incremental first-lien term loan has 101 soft call protection for six months, and the incremental second-lien term loan has 101 call protection through October 2019.

Commitments are due at 5 p.m. ET on Nov. 15, the source added.

Proceeds will be used to fund the acquisition of AFF Global Logistics, a Fife, Wash.-based third-party logistics provider and freight forwarder.

Closing is expected this year, subject to customary conditions.

Odyssey Logistics is a Danbury, Conn.-based provider of multi-modal transportation solutions and transportation management.

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