Imperial Dade, Astoria Energy break; US LBM, Zaxby’s, B&G Foods, AccentCare accelerated

By Sara Rosenberg

New York, Dec. 4 – Imperial Dade (BCPE Empire Holdings Inc.) firmed the spread pricing on its incremental first-lien term loan at the low end of guidance and tightened the original issue discount before freeing it up for trading on Friday, and Astoria Energy LLC’s first-lien term loan B broke as well.

In more happenings, US LBM (LBM Acquisition LLC), Zaxby’s Operating Co. LP, B&G Foods Inc. and AccentCare Inc. moved up the commitment deadlines for their term loans.

Also, Unified Women’s Healthcare LP and Weld North Education released price talk with launch, and DXP Enterprises Inc., PointClickCare and Provation Software Group Inc. surfaced with new deal plans.

Imperial revised, trades

Imperial Dade set pricing on its $180 million incremental covenant-lite first-lien term loan (B3/B-) due June 2026 at Libor plus 425 basis points, the low end of the Libor plus 425 bps to 450 bps talk, and adjusted the original issue discount to 99 from 98.5, according to a market source.

The incremental term loan still has a 0.75% Libor floor and 101 soft call protection for six months.

Recommitments were due at noon ET on Friday and the incremental term loan freed to trade in the afternoon, with levels quoted at 99¼ bid, par ¼ offered, another source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to repay ABL borrowings and fund near-term acquisitions.

Imperial Dade is a distributor of foodservice disposables and janitorial sanitation products with headquarters in Jersey City and Miami.

Astoria hits secondary

Astoria Energy’s $800 million seven-year senior secured first-lien term loan B (Ba3/BB-) began trading, with levels quoted at 99¾ bid, par ¼ offered, a trader remarked.

Pricing on the term loan is Libor plus 350 bps with a 1% Libor floor and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

During syndication, the spread on the term loan firmed at the low end of the Libor plus 350 bps to 375 bps talk and the discount was revised from 99.

Barclays, Morgan Stanley Senior Funding Inc. and Natixis are leading the deal that will be used to refinance the company’s existing credit facilities, for general corporate purposes and to pay a distribution to Astoria Project Partners LLC and its owners to reimburse expenditures of the sponsors to acquire their indirect 54.9451% ownership interest in Astoria Project Partners II.

Astoria Energy is an owner of electric power generation facilities in New York.

US LBM tweaks timing

Back in the primary market, US LBM accelerated the commitment deadline for its $1.2 billion seven-year senior secured term loan B and $300 million delayed-draw term loan to noon ET on Tuesday from noon ET on Thursday, a market source said.

Talk on the term loans is Libor plus 450 bps with a 0.75% Libor floor and an original issue discount of 98.5 to 99.

The term loan debt has 101 soft call protection for six months, and the delayed-draw term loan has a ticking fee of half the margin from days 61 to 120 and Libor plus the full margin thereafter.

The delayed-draw term loan is available for 24 months, subject to pro forma first-lien net leverage of 4.5x, or if used to finance an acquisition or to refinance a replenishment of cash on hand or revolving facility used to consummate an acquisition, the pro forma first-lien net leverage shall be “no worse than” immediately prior.

US LBM lead banks

Barclays, BofA Securities Inc., Credit Suisse Securities (USA) LLC, RBC Capital Markets, Truist, Deutsche Bank Securities Inc. and U.S. Bank are the bookrunners on US LBM’s $1.5 billion of term loans (B2/B/B+).

Proceeds will be used with $390 million of senior unsecured notes to help fund the buyout of the company by Bain Capital Private Equity.

Closing is expected this month, subject to customary conditions, including regulatory approvals.

US LBM is a Buffalo Grove, Ill.-based distributor of specialty building materials.

Zaxby’s modifies deadline

Zaxby’s changed the commitment deadline for its $625 million seven-year covenant-lite first-lien term loan B (B) and $250 million eight-year covenant-lite second-lien term loan (CCC+) to 5 p.m. ET on Tuesday from 5 p.m. ET on Thursday, according to a market source.

Talk on the first-lien term loan is Libor plus 400 bps to 425 bps with a 25 bps step-down upon consummation of an initial public offering, a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 750 bps with a 0.75% Libor floor, a discount of 98.5 and hard call protection of 102 in year one and 101 in year two, or 101 in year one and par thereafter for any prepayment or refinancing in connection with a whole-business securitization.

Zaxby’s $975 million of senior secured credit facilities also include a $100 million five-year revolver (B).

Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, KeyBanc Capital Markets and Fifth Third are leading the deal that will be used to help fund Goldman Sachs Merchant Banking Division’s acquisition of a significant stake in the Athens, Ga.-based casual restaurant chain.

Closing is expected by year-end.

B&G Foods accelerated

B&G Foods moved up the commitment deadline for its $300 million incremental senior secured covenant-lite first-lien term loan B (Ba2/BB) due Oct. 10, 2026 to 5 p.m. ET on Monday from 5 p.m. ET on Wednesday, according to a market source.

The consent deadline has been accelerated to noon ET on Monday, the source added.

Talk on the incremental term loan is Libor plus 250 bps with a 0% Libor floor, an original issue discount of 98 to 98.751 and 101 soft call protection for six months.

Fungibility with the existing term loan B-4 is subject to final terms and an issue price greater than 98.75.

Barclays is the left lead on the deal that will be used to repay a portion of the revolver borrowings used to fund the $550 million acquisition of the Crisco brand of oils and shortening from the J.M. Smucker Co.

The company also plans to increase its revolver capacity and extend the revolver maturity date.

Closing is expected during the week of Dec. 14.

B&G Foods is a Parsippany, N.J.-based manufacturer and distributor of shelf-stable food products.

AccentCare moves deadline

AccentCare accelerated the commitment deadline for its $525 million incremental first-lien term loan to 5 p.m. ET on Monday from noon ET on Wednesday, a market source remarked.

Talk on the incremental term loan is Libor plus 500 bps with a 0.5% Libor floor, an original issue discount of 98 to 98.5 and 101 soft call protection for six months.

J.P. Morgan Securities LLC, Barclays, RBC Capital Markets, Capital One and Jefferies LLC are leading the deal that will be used to fund the acquisition of Seasons Hospice & Palliative Care, a Rosemont, Ill.-based hospice provider.

AccentCare, an Advent International portfolio company, is a Dallas-based provider of post-acute health care.

Unified Women’s talk

Also in the primary market, Unified Women’s Healthcare LP held its lender call on Friday morning and announced talk on its $420 million senior secured first-lien term loan B (B2/B-) at Libor plus 425 bps to 450 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on Dec. 17, the source added.

The company is also getting a $140 million privately placed second-lien term loan.

Barclays, Credit Suisse Securities (USA) LLC, BofA Securities Inc., RBC Capital Markets, Deutsche Bank Securities Inc. and Antares Capital are leading the deal that will be used to help fund the buyout of the company by Altas Partners and Ares Management Corp.

Closing is expected this month, subject to customary conditions and regulatory approvals.

Unified Women’s Healthcare is a Boca Raton, Fla.-based practice management platform in women’s health care.

Weld sets guidance

Weld North Education launched on its morning call its $412 million incremental first-lien term loan due December 2027 at talk of Libor plus 400 bps to 425 bps with a 0.75% Libor floor and an original issue discount of 99, a market source said.

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.

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.

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

RBC Capital Markets is the left lead on the deal.

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.

DXP readies deal

DXP Enterprises set a lender call for 10 a.m. ET on Tuesday to launch a $330 million seven-year first-lien term loan B, according to a market source.

Goldman Sachs Bank USA, BMO Capital Markets and Stephens are leading the deal that will be used to refinance the company’s existing capital structure and add cash to its balance sheet.

DXP is a Houston-based provider of maintenance, repair, operating products, equipment and services to energy and industrial customers.

PointClickCare on deck

PointClickCare scheduled a lender call for Monday to launch a $450 million seven-year first-lien term loan B talked at Libor plus 325 bps to 350 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source said.

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

J.P. Morgan Securities LLC is leading the deal that will be used to fund an acquisition and for general corporate purposes.

PointClickCare is a Mississauga, Ont.-based electronic health record technology partner to the long-term post-acute care and senior care industry.

Provation joins calendar

Provation Software Group emerged with plans to hold a lender call at 1 p.m. ET on Monday to launch a $250 million seven-year covenant-lite first-lien term loan, according to a market source.

The first-lien term loan has a 0.75% Libor floor and 101 soft call protection for six months, the source said.

Commitments are due at 5 p.m. ET on Dec. 16.

The company is also getting an $80 million privately placed second-lien term loan.

Credit Suisse Securities (USA) LLC, Jefferies LLC and BMO Capital Markets are leading the deal that will be used to refinance debt and add cash to the balance sheet for near-term acquisitions.

Provation is a Minneapolis-based provider of clinical productivity software for healthcare professionals.

© 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.