Orion Engineered trims spreads on U.S. and euro first-lien term loans

By Sara Rosenberg

New York, April 27 – Orion Engineered Carbons reduced pricing on its $291 million first-lien senior secured term loan B due July 2021 to Libor plus 250 basis points from Libor plus 275 bps and on its €334 million first-lien senior secured term loan B due July 2021 to Euribor plus 275 bps from Euribor plus 300 bps, according to a market source.

Also, the original issue discount on both term loans firmed at 99.875, the wide end of the 99.875 to par talk, the source said.

As before, the term loans have a 0% floor, 101 soft call protection for six months and amortization of 1% per annum.

Goldman Sachs Bank USA is the lead on the deal.

Recommitments for the U.S. loan were scheduled to be due by the close of business on Thursday, and recommitments for the euro loan are due at 11 a.m. UK times on Friday, the source added.

Proceeds will be used to reprice existing U.S. and euro term loan B debt from Libor/Euribor plus 300 bps with a 0.75% floor.

Orion Engineered Carbons is a Frankfurt-based producer of carbon black.

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