Kaman term loan breaks; SupplyOne, Swissport updates emerge; Avient, ADT set price talk

By Sara Rosenberg

New York, March 26 – Kaman Corp. (Ovation Parent Inc.) increased the size of its term loan B and modified the original issue discount for a second time, and then the debt made its way into the secondary market on Tuesday.

In more happenings, SupplyOne Inc. upsized its term loan B, lowered the margin and tightened the issue price, and Swissport set its U.S. and euro term loan B sizes, trimmed the spread on the debt, revised original issue discount talk on the U.S. piece and finalized the discount on the euro piece.

Also, Avient Corp. came out with size and price talk on its term loan B-8 in connection with its lender call, and ADT Inc. (Prime Security Services Borrower LLC) approached investors with a repricing proposal.

Furthermore, MyEyeDr. (MED ParentCo. LP) and Genesee & Wyoming Inc. joined this week’s primary calendar.

Kaman reworked

Kaman raised its senior secured covenant-lite first-lien term loan B due March 2031 to $815 million from $790 million, and changed the original issue discount to 99.75 from revised talk of 99.5 and initial talk of 99, according to a market source.

Also, it was outlined that the term loan has a 25 bps pricing step-down if first-lien net leverage is 5.25x, the source said.

As before, the term loan is priced at SOFR plus 350 basis points with a 0.75% floor, and has 101 soft call protection for six months, and ticking fees of half the margin from days 61 to 120 and the full margin thereafter.

Previously in syndication, pricing on the term loan was reduced from SOFR plus 400 bps.

Based on filings with the Securities and Exchange Commission, the company is also expected to get a $150 million revolver.

Morgan Stanley Senior Funding Inc., BMO Capital Markets, RBC Capital Markets, Stifel and Capital One are leading the deal.

Kaman frees up

Commitments for Kaman’s term loan B were due at noon ET on Tuesday and the debt broke for trading later in the day, with levels quoted at par bid, par ˝ offered, a trader added.

The term loan will be used with equity to fund the buyout of the company by Arcline Investment Management LP for $46.00 per share in cash, to pay related fees and expenses, and, due to the upsizing, for general corporate purposes. The transaction has a total enterprise value of about $1.8 billion.

Closing is expected in April.

Kaman is a Bloomfield, Conn.-based OEM and producer of subassemblies, components and parts for the aerospace & defense, industrial and medical markets.

SupplyOne modified

SupplyOne raised its seven-year term loan B (B2/B) to $795 million from $770 million, reduced pricing to SOFR plus 425 bps from SOFR plus 450 bps and revised the original issue discount to 99 from 98, a market source remarked.

The term loan still has a 0% floor and 101 soft call protection for six months.

Recommitments were due at 5 p.m. ET on Tuesday and allocations are expected on Wednesday morning, the source added.

RBC Capital Markets is the left lead on the deal that will be used to refinance an existing private credit deal and, due to the upsizing, for general corporate purposes, which may include future merger and acquisition activity.

SupplyOne, a Wellspring portfolio company, is a distributor of corrugated and other value-added packaging products, equipment and services.

Swissport revised

Swissport finalized its U.S. seven-year term loan B size at $625 million and its euro seven-year term loan B at €625 million, compared to prior talk of a €1.2 billion equivalent U.S. and euro term loan with the U.S. portion having a minimum size of $500 million, a market source said.

Additionally, pricing on the U.S. and euro term loans (B2/B+/BB+) was cut to SOFR/Euribor plus 425 bps from revised talk of SOFR/Euribor plus 450 bps and initial talk in the range of SOFR/Euribor plus 450 bps to 475 bps, the source continued.

Also, the original issue discount talk on the U.S. term loan was changed to a range of 99.25 to 99.5 from revised talk in the range of 98.5 to 99 and initial talk in the range of 98 to 98.5, and the discount on the euro term loan was set at 99, the tight end of revised talk of 98.5 to 99 and tighter than initial talk in the range of 98 to 98.5.

The U.S. and euro term loans still have a 0% floor and 101 soft call protection for six months.

Swissport lead banks

JPMorgan Chase Bank is the physical bookrunner on Swissport’s U.S. term loan. Barclays, BofA Securities Inc. and JPMorgan are the physical bookrunners on the euro term loan. Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc. and UBS Investment Bank are the senior joint bookrunners, and Goldman Sachs, Natixis, NatWest, RBC Capital Markets and Santander are joint bookrunners. JPMorgan is the administrative agent.

Commitments were due at 5 p.m. ET on Tuesday for the U.S. term loan and are due at 6 a.m. ET on Wednesday for the euro term loan, the source added.

The term loans will be used to repay existing debt, fund a capital return to shareholders, add cash to the balance sheet, and pay transaction related fees and expenses.

Radar Bidco Sarl is a borrower under both term loans, and Swissport Stratosphere USA LLC is a borrower on the U.S. term loan.

Swissport is a Zurich-based provider of mission critical airport handling services.

Avient details emerge

Avient held its lender call at 10:30 a.m. ET on Tuesday and, a few hours before the call began, it was revealed that the company is seeking a $728 million senior secured covenant-lite term loan B-8 due Aug. 29, 2029 talked at SOFR plus 175 bps to 200 bps with a 0.5% floor, an original issue discount of 99.875 to par and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on April 3, the source added.

Citigroup Global Markets Inc. is leading the deal that will be used to reprice the company’s existing term loan B-7 down from SOFR plus 250 bps with a 0.5% floor.

Avient is an Avon Lake, Ohio-based provider of specialized and sustainable material solutions.

ADT holds call

ADT surfaced in the morning with plans to hold a lender call at 10 a.m. ET to launch a $1.375 billion term loan B due Oct. 13, 2030 talked at SOFR plus 200 bps with a 0% floor, an original issue discount of 99.75 to par and 101 soft call protection for six months, a market source remarked.

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

Barclays is leading the deal that will be used to reprice the company’s existing term loan B due 2030 down from SOFR plus 250 bps with a 0% floor.

ADT is a Boca Raton, Fla.-based provider of security, automation and smart home solutions services.

MyEyeDr. on deck

MyEyeDr. set a lender call for 10 a.m. ET on Wednesday to launch $1,550,625,000 of credit facilities, according to a market source.

The facilities consist of a $150,625,000 five-year revolver and a $1.4 billion seven-year first-lien term loan (B-), the source said.

The term loan has 101 soft call protection for six months.

Commitments are due at 3 p.m. ET on April 4, the source added.

Jefferies LLC is the left lead on the deal that will be used with new PIK preferred equity to refinance existing debt.

MyEyeDr. is an optometry platform.

Genesee readies loan

Genesee & Wyoming scheduled a lender call for 1 p.m. ET on Wednesday to launch a $2.425 billion seven-year term loan B, a market source said.

RBC Capital Markets and Wells Fargo Securities LLC are leading the deal that will be used with $1 billion of other secured debt to refinance existing debt, including an existing term loan B due 2026, and to fund a shareholder distribution.

Brookfield and GIC are the sponsors.

Genesee & Wyoming is a Darien, Conn.-based provider of rail freight transportation and support services.

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