Gopher Resource raises term loan to $475 million, trims pricing

By Sara Rosenberg

New York, Feb. 8 – Gopher Resource LLC upsized its seven-year covenant-light first-lien term loan to $475 million from $450 million and reduced pricing to Libor plus 325 basis points from talk in the range of Libor plus 375 bps to 400 bps, according to a market source.

Also, the company added to the term loan a 25 bps step-down at senior secured net leverage of less than 4.5 times and tightened the original issue discount to 99.75 from 99.5, the source said.

The term loan still has a 1% Libor floor and 101 soft call protection for six months.

The company’s now $515 million of credit facilities (B2/B), up from $490 million, also include a $40 million revolver.

Credit Suisse Securities (USA) LLC, Barclays and BMO Capital Markets are the leads on the deal.

Commitments are due at 11 a.m. ET on Friday, the source added.

Proceeds will be used to fund the acquisition of the company by Energy Capital Partners.

Gopher is a recycler of lead-acid batteries.

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