CPV, TricorBraun break; Tecta America, Latham Pool, Callaway Golf, Excelitas tweak deals

By Sara Rosenberg

New York, Dec. 14 – CPV Shore Holdings LLC firmed the spread and issue price on its term loan B at the wide end of talk, and TricorBraun Holdings Inc. upsized its fungible incremental term loan, and then these deals freed up for trading on Friday.

In more happenings, Tecta America Corp. increased the size of its first-lien term loan and sweetened the original issue discount for a second time, and Latham Pool Products Inc. adjusted the issue price on its term loan B and shortened the maturity.

Also, Callaway Golf Co. lifted pricing on its term loan B, modified the issue price and extended the call protection, and Excelitas Technologies Corp. changed the original issue discount on its incremental first-lien term loan.

CPV updated, frees up

CPV Shore Holdings set the spread on its $425 million seven-year term loan B at Libor plus 375 basis points, the high end of the Libor plus 350 bps to 375 bps talk, and finalized the original issue discount at 99, the wide end of the 99 to 99.5 talk, a market source remarked.

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

The company’s $545 million of senior secured credit facilities (Ba2/BB) also include a $120 million five-year revolver.

Commitments were due at noon ET on Friday and then the term loan B broke for trading in the afternoon at 99¼ bid, par ¼ offered, a trader added.

Morgan Stanley Senior Funding Inc., MUFG and Credit Agricole CIB are leading the deal that will be used to refinance an existing term loan, fund a distribution to the sponsors and pay transaction fees and expenses.

Closing is expected during the week of Dec. 17.

CPV Shore is part owner of Woodbridge Energy Center, a 725 MW combined cycle, natural gas-fired facility in Middlesex County, N.J.

TricorBraun upsizes, breaks

TricorBraun raised its fungible incremental term loan due November 2023 to $80 million from $67 million, and left pricing at Libor plus 375 bps with a 1% Libor floor and an original issue discount of 99.03, according to a market source.

The spread and floor on the incremental term loan matches pricing on the company’s existing roughly $649 million term loan.

On Friday afternoon, the incremental term loan made its way into the secondary market and was seen quoted at 98¾ bid, 99¼ offered, the source added.

Antares Capital is leading the deal that will be used to fund a planned acquisition and pay down revolver borrowings.

Closing is expected on Dec. 31.

TricorBraun, an AEA Investors portfolio company, is a St. Louis-based provider of rigid packaging products.

Tecta revised

Tecta America lifted its seven-year covenant-light first-lien term loan to $382.5 million from $375 million and changed the original issue discount to 98 from adjusted talk of 99 and initial talk of 99.5, according to a market source.

As before, the term loan is priced at Libor plus 450 bps with a 0% Libor floor and has 101 soft call protection for one year.

Previously in syndication, pricing on the first-lien term loan was raised from talk in the range of Libor plus 400 bps to 425 bps, and the call protection was extended from six months, and the company upsized its equity component as plans were terminated for a $100 million eight-year covenant-light second-lien term loan talked at Libor plus 800 bps to 825 bps with a 0% Libor floor, a discount of 99 and call protection of 102 in year one and 101 in year two.

Tecta getting revolver

In addition to the first-lien term loan, Tecta’s now $442.5 million of credit facilities (B3/B) include a $60 million revolver.

Recommitments were due at noon ET on Friday and the deal allocated in the afternoon, another source added.

Credit Suisse Securities (USA) LLC, UBS Investment Bank and RBC Capital Markets are leading the deal that will be used to help fund the buyout of the company by Altas Partners from ONCAP.

Closing is expected this quarter, subject to customary conditions and regulatory approvals.

Tecta is a Rosemont, Ill.-based provider of critical commercial roofing services.

Latham modified

Latham Pool Products changed the original issue discount on its $215 million covenant-light term loan B to 97 from 98, shortened the maturity to 6.5 years from seven years, and made lender friendly changes to excess cash flow sweep, EBITDA definition, first-lien debt incurrence and other baskets, according to a market source.

As before, the term loan is priced at Libor plus 600 bps with a 0% Libor floor and has 101 soft call protection for one year.

The company’s $245 million of credit facilities (B2/B+) also include a $30 million five-year revolver.

Nomura is leading the deal that will be used to fund the buyout of the company by Pamplona and Wynnchurch, refinance existing debt and pay related fees and expenses.

Allocations were expected on Friday and closing is targeted for late this month.

Latham Pool is a Latham, N.Y.-based designer and manufacturer of residential in-ground swimming pools and related accessories.

Callaway reworked

Callaway Golf increased pricing on its $480 million seven-year covenant-light term loan B (Ba3/BB-) to Libor plus 450 bps from talk in the range of Libor plus 400 bps to 425 bps, revised the original issue discount to 98 from 99 and extended the 101 soft call protection to one year from six months, a market source said.

The term loan still has a 0% Libor floor.

Bank of America Merrill Lynch and J.P. Morgan Securities LLC are leading the deal that will be used to fund the €418 million acquisition of Jack Wolfskin, an Idstein, Germany-based outdoor apparel, footwear and equipment brand.

Pro forma debt to EBITDA is around 2.9 times.

Closing is expected in the first quarter of 2019, subject to regulatory approvals and other customary conditions.

Callaway Golf is a Carlsbad, Calif.-based manufacturer and seller of golf clubs and golf balls, and seller of bags, accessories and apparel in the golf and lifestyle categories.

Excelitas widens OID

Excelitas Technologies adjusted the original issue discount on its $80 million incremental first-lien term loan (B-) to 95.5 from talk in the range of 96.5 to 97, according to a market source.

The incremental term loan is priced at Libor plus 350 bps with a 1% Libor floor.

J.P. Morgan Securities LLC is leading the deal that will be used to fund an acquisition.

Excelitas is a Waltham, Mass.-based optoelectronics provider to military and defense customers and commercial original equipment manufacturers.

Carestream tweaks expected

Carestream Health Inc. is anticipated to make some documentation changes to its amendment and extension transaction and will likely allocate during the week of Dec. 17, a market source remarked.

Under the proposal the company is seeking to reduce its first-lien term loan (B1) to $720 million from $770 million, extend the maturity by 20 months to Feb. 28, 2021 and increase pricing to Libor plus 575 bps from Libor plus 400 bps.

The extended first-lien term loan will have a 25 bps step-down in pricing if both corporate ratings are B3/B- or better and 101 hard call protection for life.

Also, the company is asking to extend the maturity on its $372 million second-lien term loan (Caa2) by 18 months to June 7, 2021 and will lift pricing to Libor plus 950 bps from Libor plus 850 bps, plus 100 bps of PIK interest effective on Dec. 31, 2019, June 30, 2020 and Dec. 31, 2020.

The extended second-lien term loan will have 101 hard call protection through Feb. 29, 2020, 102 hard call protection through June 30, 2020 and 103 hard call protection thereafter.

Both loans have a 1% Libor floor.

Carestream covenants

Carestream’s extended term loans will include total net leverage, minimum liquidity and minimum EBITDA covenants.

Credit Suisse Securities (USA) LLC is leading the deal.

First-lien lenders are being offered a 100 bps extension fee, and second-lien lenders are being offered a 100 bps cash/100 bps PIK extension fee.

Carestream is a Rochester, N.Y.-based provider of medical imaging products and IT solutions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.