SMB Shipping prices $50 million incremental term loan at 99.5 OID

By Sara Rosenberg

New York, June 21 – SMB Shipping Logistics LLC plans to close on Monday on a fungible $50 million incremental term loan that was sold at an original issue discount of 99.5, according to a market source.

Pricing on the incremental term loan is Libor plus 400 basis points with a 1% Libor floor.

During syndication, the incremental term loan was upsized from $25 million due to strong market reception, the source said.

Antares Capital is the lead arranger on the deal.

Allocations went out on Thursday.

Proceeds will be used to repay revolving credit facility borrowings and provide cash for future tuck-in acquisitions.

The company’s existing term loan is sized at $490.5 million.

SMB Shipping, a portfolio company of Ridgemont Equity Partners, is a Dallas-based provider of small parcel and freight services to the small and midsize business market.

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