Weld North talks $412 million loan at Libor plus 400-425 bps

By Sara Rosenberg

New York, Dec. 4 – Weld North Education launched on Friday its $412 million incremental first-lien term loan due December 2027 with price talk of Libor plus 400 basis points to 425 bps with a 0.75% Libor floor and an original issue discount of 99, according to a market source.

The incremental term loan will be fungible with the $238 million of the existing $538 million first-lien term loan that is being extended to December 2027 from February 2025, the source said.

Pro forma for the transaction, there will be a total of $650 million of term loan borrowings due in December 2027 and $300 million due in February 2025.

Existing lenders wishing to roll to the new tranche will be paid a 25 bps extension fee.

The incremental term loan and extended term loan will have 101 soft call protection for six months.

RBC Capital Markets is the left lead arranger on the deal.

Commitments are due at noon ET on Dec. 15, the source added.

Proceeds from the incremental term loan will be used for a shareholder distribution, to fund an acquisition and for general corporate purposes.

Weld North Education, a portfolio company of Silver Lake Partners, is an education technology company focused on digital curriculum for grades K-12.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.