Anchor Packaging breaks atop OID; primary calendar for July 15 week builds

By Sara Rosenberg

New York, July 12 – Anchor Packaging LLC finalized the spread and original issue discount on its first-lien term loan debt at the tight end of guidance, added pricing step-downs and then freed up for trading on Friday afternoon.

In other news, Nascar Holdings Inc., GEMS Education, West Deptford Energy Holdings LLC, ArisGlobal (Athos Merger Sub LLC) and Consolidated Precision Products Corp. (WP CPP Holdings LLC) hopped onto the near-term calendar.

Anchor updated, trades

Anchor Packaging set pricing on its $320 million seven-year covenant-lite first-lien term loan (B2/B) and $70 million delayed-draw seven-year covenant-lite first-lien term loan (B2/B) at Libor plus 400 basis points, the low end of the Libor plus 400 bps to 425 bps talk, added step-downs and firmed the original issue discount at 99.5, the tight end of the 99 to 99.5 talk, according to a market source.

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

Recommitments were due at 11:30 a.m. ET on Friday and the strip of funded and delayed-draw first-lien term loan debt began trading in the afternoon, with levels quoted at 99¾ bid, par ¼ offered, another source added.

The company’s $545 million of credit facilities also include a $60 million revolver (B2/B) and a $95 million privately placed second-lien term loan.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Nomura, Antares Capital and Neuberger Berman are leading the deal that will be used to help fund the buyout of the company by the Jordan Co.

Anchor Packaging is a Ballwin, Mo.-based producer of polypropylene rigid takeout containers.

Nascar timing surfaces

Nascar Holdings set a bank meeting for 10 a.m. ET in New York on Tuesday to launch a $1.41 billion first-lien term loan, a market source said.

Goldman Sachs Bank USA, BofA Securities Inc. and PNC Bank are leading the deal that will be used to help fund the acquisition of International Speedway Corp. for $45 in cash per share. The transaction is valued at about $2 billion.

Closing is expected this year, subject to International Speedway shareholder approval and customary conditions.

Nascar is a Daytona Beach, Fla.-based sports sanctioning body and provider of news, statistics and information services on races, drivers, teams and industry events. International Speedway is a Daytona Beach, Fla.-based promoter of motorsports activities.

GEMS readies loan

GEMS Education scheduled a bank meeting for 10 a.m. ET in New York on Tuesday and meeting in London for Wednesday to launch an $850 million first-lien term loan B (B2/B/B+) that could include a to be determined euro tranche, a market source remarked.

Goldman Sachs and Credit Suisse are the global coordinators on the deal, and Citigroup and HSBC are joint bookrunners.

Proceeds will be used with $500 million of senior secured notes and $300 million equivalent of euro senior secured notes to refinance existing debt following the acquisition of a roughly 30% stake in the company by a CVC Capital Partners-led consortium.

With the CVC transaction, GEMS Education will acquire 14 schools in the UK and one in Switzerland.

Closing is expected by the end of July.

GEMS Education is a Dubai-based provider of private K-12 education.

West Deptford on deck

West Deptford Energy Holdings will hold a bank meeting at 1 p.m. ET in New York on Monday to launch $500 million of credit facilities, a market source said.

The facilities consist of a $55 million revolver, and a $445 million seven-year first-lien term loan B that is talked with 101 soft call protection for six months, the source added.

Commitments are due at 5 p.m. ET on July 29.

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

West Deptford is a 744 MW gas-fired combined-cycle power generation facility.

ArisGlobal joins calendar

ArisGlobal set a bank meeting for 10 a.m. ET in New York on Monday to launch $270 million of credit facilities, according to a market source.

The facilities consist of a $30 million revolver, and a $240 million seven-year covenant-lite first-lien term loan that is talked with a 0% Libor floor and 101 soft call protection for six months, the source said.

Commitments are due at 5 p.m. ET on July 26.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to help fund the buyout of the company by Nordic Capital.

ArisGlobal is a Coral Gables, Fla.-based developer of cloud-based software for pharmaceutical and R&D companies.

CPP coming soon

Consolidated Precision Products emerged with plans to hold a lender call at 10 a.m. ET on Monday to launch an incremental financing, a market source remarked.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to support a recapitalization transaction with Berkshire Partners and Warburg Pincus, the company’s current financial partner, and the acquisition of Allegheny Technologies Inc.’s Cast Products business.

Consolidated Precision Products is a Cleveland-based manufacturer of engineered components and subassemblies primarily for the commercial aerospace, defense and industrial gas turbine markets. The Cast Products business is a producer of titanium investment castings that are primarily used by aerospace & defense OEMs in the production of commercial jet airframes and engines.

© 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.