Fluidra, Cyanco, Leidos, Gateway, Zest Dental, ExamWorks break; HCA, K-MAC, Pinnacle revised

By Sara Rosenberg

New York, March 8 – Fluidra downsized its U.S. and euro term loans, added an Australian dollar tranche to the mix, set the issue price on its euro first-lien term loan at the narrow end of revised guidance, and then began trading on Thursday.

Also, Cyanco Intermediate 2 Corp. moved some funds between its first-and second-lien term loans and revised the original issue discount on the first-lien tranche, and Leidos Innovations Corp. moved up the commitment deadline on its term loan B, and then these deals hit the secondary market as well.

Other deals to break for trading during the session included Gateway Casinos & Entertainment Ltd., Zest Dental Solutions and ExamWorks Group Inc.

In more happenings, HCA Inc. firmed the issue price on its term loan B-10 at the tight side of talk, K-MAC Holdings Corp. adjusted sizes on its first-and second-lien term loans and updated pricing, Pinnacle Foods Finance LLC trimmed the size of its term loan B and Pike Corp. accelerated the commitment deadline on its term loan B.

Additionally, CareCentrix Inc., Global Payments Inc., SouthernCarlson Inc., HealthChannels Inc., Acadia Healthcare Co. Inc., Output Services Group Inc. (OSG Billing Services), Four Seasons Hotels and Resorts, U.S. Security Associates Inc. and Wells Enterprises Inc. disclosed price talk with launch.

Fluidra restructures

Fluidra scaled back its U.S. seven-year first-lien term loan (Ba3/BB) to $500 million from $525 million and its euro seven-year first-lien term loan (Ba3/BB) to €400 million from €425 million, and added an A$75 million seven-year term loan first-lien term loan to its transaction, according to a market source.

Pricing on the U.S. term loan remained at Libor plus 225 basis points with a 0% Libor floor and an original issue discount of 99.75.

The euro term loan is priced at Euribor plus 275 bps with a 0% floor, and the issue price on the tranche finalized at par, the tight end of revised talk of 99.75 to par, and tight of initial talk of 99.5, the source said.

Pricing on the Australian term loan is BBSY plus 375 bps with a 0% floor and a par issue price.

The term loans have 101 soft call protection for six months.

Previously in syndication, pricing on the U.S. loan was reduced from Libor plus 275 bps and the discount was revised from 99.5, and the spread on the euro term loan was trimmed from Euribor plus 300 bps.

Fluidra tops OID

After terms firmed up, Fluidra’s U.S. term loan broke for trading on Thursday and levels were quoted at par bid, par ½ offered, a trader added.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc., Bank of America Merrill Lynch and BBVA are leading the deal that will be used to fund the merger of Fluidra with Zodiac Pool Solutions. Credit Suisse is the left lead on the U.S. loan and Citigroup is the left lead on the euro loan.

Closing is expected in the first half of this year, subject to the approval of Fluidra’s shareholders and other customary conditions.

Fluidra is a Sabadell, Spain-based developer of products and applications for the commercial and residential pool markets. Zodiac, a Rhône Capital portfolio company, is a Vista, Calif.-based manufacturer of residential pool equipment and connected pool solutions.

Cyanco reworked

Cyanco lifted its seven-year covenant-light first-lien term loan (B) to $400 million from $380 million and tightened the original issue discount to 99.75 from 99.5, according to a market source.

The first-lien term loan is still priced at Libor plus 350 basis points with a 0% Libor floor, and has 101 soft call protection for six months.

With the first-lien upsizing, the company trimmed its eight-year covenant-light second-lien term loan (CCC+) to $80 million from $100 million, the source said.

Pricing on the second-lien term loan is still Libor plus 750 bps with a 0% Libor floor and a discount of 99, and the debt continues to have call protection of 102 in year one and 101 in year two.

Documentation changes were also made to the transaction, including setting the 50 bps MFN for life, removing the shorter maturity carve-out, eliminating the asset sale step-downs, removing the unswept asset sale proceeds building and modifying the restricted payment available amount, the source continued.

Cyanco frees up

Recommitments for Cyanco’s term loans were due at noon ET on Thursday, and then the debt broke for trading, with the first-lien term loan quoted at par ½ bid, 101 offered and the second-lien term loan quoted at 99½ bid, par ½ offered, a trader added.

Deutsche Bank Securities Inc. is leading the deal that will be used to help fund the buyout of the company by Cerberus Capital Management LP from Oaktree Capital Management LP.

Cyanco is a Pearland, Texas-based supplier of sodium cyanide used for the extraction of gold and silver.

Leidos accelerated, trades

Leidos Innovations moved up the commitment deadline for new money orders for its $1.12 billion senior secured covenant-light term loan B due Aug. 16, 2023 to 11:30 a.m. ET on Thursday from 5 p.m. ET on Thursday, a market source remarked.

Pricing on the term loan is Libor plus 175 bps with a 0% Libor floor and a par issue price.

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

By early afternoon, the term loan B made its way into the secondary market and levels were seen at par ¼ bid, par 5/8 offered, a trader added.

Citigroup Global Markets Inc., MUFG, Bank of America Merrill Lynch, JP Morgan Chase Bank, Goldman Sachs Bank USA, Scotiabank and Wells Fargo Securities LLC are leading the deal that will be used to reprice an existing term loan B down from Libor plus 200 bps with a 0% Libor floor.

Closing is expected on March 15.

Leidos is a Reston, Va.-based provider of technology and sector expertise to customers in national security, health and engineering.

Gateway Casinos breaks

Gateway Casinos’ $335 million seven-year senior secured term loan B emerged in the secondary too, with levels quoted at par ¼ bid, 101¼ offered, according to a trader.

Pricing on the term loan is Libor plus 300 bps with a step-down to Libor plus 275 bps following an initial public offering and a 0% Libor floor. The debt was sold at an original issue discount of 99.875 and has 101 soft call protection for six months.

On Wednesday, the term loan was upsized from $305 million, pricing was cut from Libor plus 325 bps, the step-down was added and the discount was changed from 99.75.

The company’s credit facilities also include a C$150 million five-year revolver.

Gateway lead banks

Morgan Stanley Senior Funding Inc., SunTrust Robinson Humphrey Inc., BMO Capital Markets Corp., Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Macquarie Capital (USA) Inc., National Bank of Canada and ING are leading Gateway Casinos’ credit facilities. BMO is the administrative agent.

The term loan will be used with proceeds from a sale-leaseback to refinance existing term loans and revolver borrowings, to repay the Langley mortgage, to fund a distribution to shareholders and for general corporate purposes. The funds from the recent term loan upsizing will be used for general corporate purposes.

Closing is expected on Tuesday.

Gateway Casinos is a Burnaby, B.C.-based owner of gaming properties.

Zest begins trading

Zest Dental Solutions’ credit facilities freed to trade, with the $265 million seven-year covenant-light first-lien term loan (B2/B) quoted at 99¾ bid, par ½ offered and the $115 million eight-year covenant-light second-lien term loan (Caa2/CCC+) quoted at 99¼ bid, par ¼ offered, traders remarked.

Pricing on the first-lien term loan is Libor plus 350 bps with a 0% Libor floor and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 750 bps with a 1% Libor floor and was issued at a discount of 99. This tranche has hard call protection of 103 in year one and 101 in year two.

The company’s $430 million of senior secured credit facilities also include a $50 million revolver.

Citigroup Global Markets Inc., RBC Capital Markets, Credit Suisse Securities (USA) LLC and Jefferies LLC are leading the deal, with Citi the left lead on the first-lien and RBC the left lead on the second-lien.

Proceeds will be used to help fund the buyout of the company by BC Partners from Avista Capital Partners.

Closing is expected this month.

Zest Dental is a Carlsbad, Calif.-based developer, manufacturer and supplier of solutions to treat both natural teeth and implant supported restorations.

ExamWorks hits secondary

ExamWorks’ fungible $185 million incremental covenant-light first-lien term B due July 27, 2023 began trading too, with levels seen at par 3/8 bid, par 7/8 offered before moving up to par 5/8 bid, 101 1/8 offered, a market source said.

The incremental loan is priced at Libor plus 325 bps with a 1% Libor floor, in line with existing term loan B pricing, and was issued at par. All of the term loan B debt is getting 101 soft call protection for six months.

On Wednesday, the issue price on the incremental loan was revised from talk in the range of 99.5 to 99.75.

Bank of America Merrill Lynch, Barclays, Deutsche Bank Securities Inc. and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to fund the acquisition of Work Health Group, Australia’s leading provider of occupational rehabilitation case management services.

ExamWorks is an Atlanta-based provider of independent medical examinations, peer reviews, bill reviews, Medicare compliance services, case management services, record retrieval services, document management services and other related services.

HCA updated

Back in the primary market, HCA set the issue price on its $1.5 billion seven-year term loan B-10 at par, the tight end of the 99.875 to par talk, and left pricing at Libor plus 200 bps with no Libor floor, according to a market source.

The company is also getting a $1,166,000,000 term loan B-9 due March 18, 2023 priced at talk at Libor plus 175 bps with no Libor floor and a par issue price.

As before, both term loans have 101 soft call protection for six months.

Allocations are expected on Friday, the source said.

Bank of America Merrill Lynch is leading the $2,666,000,000 in term loans (BBB-) that will be used to refinance an existing term loan B-8 and repay about $312 million of existing term loan B-9 debt.

HCA is a Nashville, Tenn.-based health care services provider.

K-MAC changes emerge

K-MAC raised its seven-year first-lien term loan to $360 million from $355 million and moved the original issue discount to 99.75 from 99.5, a market source remarked. This tranche is still priced at Libor plus 325 bps with a step-down to Libor plus 300 bps at 4 times first-lien leverage and a 0% Libor floor, and has 101 soft call protection for six months.

Additionally, the company upsized its eight-year second-lien term loan to $120 million from $115 million, reduced pricing to Libor plus 675 bps from Libor plus 700 bps and tightened the discount to 99.75 from 99.5, the source continued. The 0% Libor floor and hard call protection of 102 in year one and 101 in year two were unchanged.

The company’s now $530 million of credit facilities also include a $50 million five-year revolver.

Commitments were due on Thursday, the source added.

KKR Capital Markets is the left lead on the deal that will be used to refinance existing debt and fund a dividend.

K-MAC is a Fort Smith, Ark.-based Taco Bell franchisee.

Pinnacle Foods downsizes

Pinnacle Foods cuts the size of its term loan B due Feb. 3, 2024 to $1,244,000,000 from $1,593,000,000, a market source said.

As before, the loan is priced at Libor plus 175 bps with a 0% Libor floor and a par issue price, and has 101 soft call protection for six months.

Commitments continue to be due at noon ET on Friday, the source added.

Bank of America Merrill Lynch and Barclays are leading the deal that will be used with a new term loan A and cash on the balance sheet to pay down a portion of the existing term loan B and reprice the now remaining $1,244,000,000 term loan B balance.

Pinnacle Foods is a Parsippany, N.J.-based producer, marketer and distributor of branded food products.

Pike revises deadline

Pike moved up the commitment deadline on its $935 million seven-year senior secured covenant-light term loan B (B2/B) to 5 p.m. ET on Monday from noon ET on Wednesday, a market source said.

Talk on the term loan is Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months.

Morgan Stanley Senior Funding Inc., KeyBanc Capital Markets Inc., SunTrust Robinson Humphrey Inc. and Fifth Third Bank are leading the deal that will be used to refinance an existing term loan and preferred securities.

Pike is a Mount Airy, N.C.-based specialty construction and engineering firm.

CareCentrix hosts meeting

CareCentrix held its bank meeting on Thursday, launching its $570 million seven-year first-lien term loan B at talk of Libor plus 375 bps to 400 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source remarked.

The company’s $620 million of senior secured credit facilities (B1/B) also include a $50 million five-year revolver.

Commitments are due at 5 p.m. ET on March 22, the source added.

UBS Investment Bank, Deutsche Bank Securities Inc. and Citizens Bank are leading the deal that will be used to refinance existing debt and fund a dividend.

Summit Partners is the sponsor.

CareCentrix is a Hartford, Conn.-based home health care benefits manager.

Global Payments details

Global Payments held a lender call in the morning, and shortly before the event kicked off it was revealed that the company would be launching on the call a $1,141,000,000 term loan B due April 22, 2023 talked at Libor plus 175 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on Monday, the source said.

Bank of America Merrill Lynch is leading the deal that will be used to reprice an existing term loan B down from Libor plus 200 bps with a 0% Libor floor.

Global Payments is an Atlanta-based provider of payment technology services.

SouthernCarlson talk

SouthernCarlson came out with talk on its $225 million first-lien term loan (B2/B+) and $85 million second-lien term loan (Caa2/CCC+) with its bank meeting on Thursday, according to a market source.

The first-lien term loan is talked at Libor plus 400 bps to 425 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and the second-lien term loan is talked at Libor plus 800 bps to 825 bps with a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two, the source said.

The company’s $345 million of credit facilities also include a $35 million revolver (B2/B+).

Commitments are due on March 21, the source added.

KKR Capital Markets is leading the deal that will be used to refinance existing debt and fund a dividend.

SouthernCarlson is an Omaha, Neb.-based distributor of fastening and packaging materials, tools and related building materials.

HealthChannels guidance

HealthChannels released price talk of Libor plus 400 bps with a 0% Libor floor and an original issue discount of 99.5 on its $250 million seven-year senior secured first-lien term loan that launched with a morning bank meeting, a market source remarked.

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

The company’s $270 million of credit facilities (B3/B) also include a $20 million five-year revolver.

Commitments are due at noon ET on March 22, the source added.

Jefferies LLC and Capital One are leading the deal that will be used to refinance existing debt and to fund a distribution to Vesey Street Capital Partners.

HealthChannels is a Fort Lauderdale, Fla.-based medical scribing, care coordination and real-time coding services company.

Acadia holds call

Acadia Healthcare hosted a call at noon ET to launch $1,398,400,000 in covenant-light term loans talked at Libor plus 250 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

The debt is split between a $477.3 million term loan B-1 due Feb. 11, 2022 and a $921.1 million covenant-light term loan B-2 due Feb. 16, 2023.

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

Bank of America Merrill Lynch is leading the deal that will be used to refinance existing term loan B’s priced at Libor plus 275 bps with a 0.75% Libor floor.

Acadia is a Franklin, Tenn.-based provider of inpatient and outpatient behavioral health care services.

Output Services launches

Output Services Group disclosed price talk of Libor plus 450 bps with a 1% Libor floor and an original issue discount of 99 on its $230 million first-lien term loan (B1) and $50 million delayed-draw first-lien term loan (B1) that launched with an afternoon bank meeting, according to a market source.

The first-lien term loan has 101 soft call protection for six months, the source said.

The company’s $360 million of credit facilities also include a $15 million revolver (B1), and a $65 million pre-placed second-lien term loan (Caa1) talked at Libor plus 850 bps with a 1% Libor floor, a discount of 98.5 and call protection of 102 in year one and 101 in year two.

Commitments are due on March 21, the source added.

SunTrust Robinson Humphrey Inc. is leading the deal that will be used to refinance existing debt, add cash to the balance sheet and fund future acquisitions.

Output Services is a Ridgefield Park, N.J.-based provider of billing and customer communications services.

Four Seasons repricing

Four Seasons Hotels and Resorts launched on its morning call an $891 million senior secured covenant-light first-lien term loan due Nov. 30, 2023 talked at Libor plus 200 bps to 225 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments are due from existing lenders at 5 p.m. ET on Wednesday and from new lenders at 5 p.m. ET on March 15, the source added.

Citigroup Global Markets Inc. is leading the deal that will be used to reprice an existing term loan B down from Libor plus 250 bps with a 0.75% Libor floor.

Closing is expected on March 21.

Four Seasons is a Toronto-based luxury hotels company.

U.S. Security sets talk

U.S. Security Associates came out with talk of Libor plus 325 bps to 350 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months on its $570 million senior secured term loan B due July 2023 that launched with a morning call, according to a market source.

Commitments are due on Wednesday, the source said.

Goldman Sachs Bank USA is leading the deal that will be used to reprice an existing term loan B down from Libor plus 400 bps with a 1% Libor floor. KeyBanc Capital Markets LLC is the administrative agent.

U.S. Security Associates is a Roswell, Ga.-based safety and security services company.

Wells reveals guidance

Wells Enterprises launched with a meeting its $175 million covenant-light term loan (B1/BB) due 2025 at talk of Libor plus 300 bps to 325 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source said.

Commitments are due at 5 p.m. ET on March 22, the source added.

BMO Capital Markets is leading the deal that will be used to refinance existing debt.

Wells Enterprises is a Le Mars, Iowa-based family-owned ice cream and frozen treat manufacturer.

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