Belfor, Oregon Clean Energy, Alera loan changes surface; Neustar discloses guidance

By Sara Rosenberg

New York, Feb. 14 – In the primary market on Thursday, Belfor finalized the spread on its first-lien term loan at the low side of guidance, added a step-down and modified the original issue discount, and Oregon Clean Energy LLC increased the size of its first-lien term loan and lowered pricing.

Also, Alera Group revised the issue price on its add-on term loan B, Neustar Inc. released price talk on its term loan with launch, and New Fortress Energy joined the near-term primary calendar.

Belfor tweaks loan

Belfor set pricing on its $585 million seven-year first-lien term loan (Ba3/B) at Libor plus 400 basis points, the low end of the Libor plus 400 bps to 425 bps talk, added a 25 bps step-down at 4.5 times net total leverage and changed the original issue discount to 99.5 from 99, according to a market source.

As before, the first-lien term loan has a 0% Libor floor and 101 soft call protection for six months.

Recommitments were due at noon ET on Thursday, the source said.

The company’s $935 million of credit facilities also include a $200 million revolver (Ba3/B) and a $150 million second-lien term loan.

J.P. Morgan Securities LLC is leading the deal that will be used to help fund an investment in the company by American Securities.

Belfor is a Birmingham, Mich.-based disaster recovery and property restoration company.

Oregon Clean revised

Oregon Clean Energy raised its seven-year first-lien term loan to $530 million from $500 million and cut the spread to Libor plus 375 bps from Libor plus 400 bps, a market source remarked.

The term loan still has a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

The company’s now $580 million of credit facilities (Ba3/BB-) also include a $50 million revolver.

Commitments continue to be due at noon ET on Friday.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to refinance existing debt and fund a shareholder distribution, which was increased with the term loan upsizing.

Oregon Clean Energy is an 870 MW combined cycle natural gas-fired generation facility located in Oregon, Ohio.

Alera adjusts discount

Alera Group tightened the original issue discount on its fungible $75 million add-on covenant-light term loan B due August 2025 to 99.5 from 99, according to a market source.

The company is also getting a fungible $30 million privately placed delayed-draw term loan B.

Pricing on the term loan debt (B2) is Libor plus 450 bps with a 0% Libor floor.

Commitments were due at 2 p.m. ET on Thursday, the source added.

J.P. Morgan Securities is leading the deal that will be used to fund acquisitions.

Alera is a Deerfield, Ill.-based insurance brokerage and wealth management firm.

Neustar floats talk

Neustar held its meeting on Thursday, launching its non-fungible $200 million incremental covenant-light term loan (B1/BB-) due August 2024 at talk of Libor plus 400 bps to 425 bps and an original issue discount of 98.5 to 99, a market source said.

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

Bank of America Merrill Lynch is leading the deal that will be used to refinance an existing term loan due January 2020 and for general corporate purposes.

Neustar is a Sterling, Va.-based provider of real-time information services.

New Fortress on deck

New Fortress Energy set a lenders’ presentation for 1 p.m. ET on Tuesday to launch a $750 million senior secured term loan B, according to a market source.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to complete the construction of infrastructure, including liquefaction and terminal facilities, to support contracted cash flows, to repay existing debt and for general corporate purposes.

New Fortress Energy is a New York-based energy infrastructure company.

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