Chefs’ Warehouse changes surface; EyeCare Partners, Citadel bring term loans to market

By Sara Rosenberg

New York, Aug. 15 – In the leveraged loan primary market on Monday, Chefs’ Warehouse Inc. (Dairyland USA Corp.) increased the size of its first-lien term loan, trimmed the spread and tightened the original issue discount.

Additionally, EyeCare Partners LLC and Citadel released price talk on their term loan transactions in connection with lender calls.

Chefs’ Warehouse tweaked

Chefs’ Warehouse raised its seven-year first-lien term loan to $300 million from $250 million, lowered pricing to SOFR+CSA plus 475 basis points from SOFR+CSA plus 500 bps and changed the original issue discount to 97 from 95, a market source said.

As before, the term loan has a 0.5% floor, CSA of 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate, and 101 soft call protection for six months.

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

Jefferies LLC, BMO Capital Markets, BofA Securities Inc. and JPMorgan Chase Bank are leading the deal that will be used to refinance an existing first-lien term loan and fund cash to the balance sheet.

Chefs’ Warehouse is a Ridgefield, Conn.-based distributor of specialty food products.

EyeCare holds call

EyeCare Partners emerged in the morning with plans to hold a lender call at 1:30 p.m. ET on Monday to launch a non-fungible $225 million incremental first-lien term loan due November 2028 talked at SOFR+CSA plus 450 bps with a 0.5% floor, an original issue discount of 93 and 101 soft call protection for six months, according to a market source.

CSA is 10 bps one-month rate, three-month rate and six-month rate.

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

Credit Suisse Securities (USA) LLC is leading the deal that will be used for tuck-in acquisition financing and to repay revolver borrowings associated with tuck-in acquisitions.

EyeCare Partners is a St. Louis-based eye care services provider.

Citadel proposed terms

Citadel held a lender call at 1 p.m. ET, launching a $400 million incremental term loan B due February 2028 talked at SOFR+CSA plus 325 bps with a 0% floor, an original issue discount of 97 to 98 and 101 soft call protection for six months, a market source remarked.

CSA is 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

Goldman Sachs Bank USA is the left lead on the deal that will be used for additional trading capital and general corporate purposes.

The company also launched an amendment to its existing $2.963 billion term loan B for which lenders are being offered a 5 bps consent fee.

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

Citadel is a Chicago-based provider of market-making services in equities, options and fixed income products.

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