Wrench Group adds repricing of $119.4 million first-lien term loan

By Sara Rosenberg

New York, Oct. 5 – Wrench Group LLC added a repricing of its existing non-fungible $119.4 million incremental first-lien term loan to its transaction, according to a market source.

The repricing of the term loan is talked at Libor plus 400 basis points with a 0% Libor floor and an original issue discount of 99.5, the source said.

As reported earlier, the company is also in market with a fungible $200 million incremental first-lien term loan due April 30, 2026 that is priced at Libor plus 400 bps with a 0% Libor floor, in line with an existing term loan, and talked with an original issue discount of 99.25.

The $119.4 million repriced term loan will become fungible with the existing first-lien and the incremental first-lien term loan, creating one first-lien tranche that will be sized at about $688.7 million.

The entire first-lien term loan will have 101 soft call protection for six months.

Jefferies LLC, Macquarie Capital (USA) Inc. and Antares Capital are the bookrunners on the deal.

Consents for the repricing are due at noon ET on Thursday, and commitments for the incremental first-lien term loan continue to be due at noon ET on Thursday, the source added.

The repricing will take the $119.4 million first-lien term loan down from Libor plus 450 bps with a 1% Libor floor.

Proceeds from the incremental first-lien term loan and a fungible $90 million privately placed incremental second-lien term loan will be used to fund the acquisition of Morris-Jenkins, a provider of air conditioning, heating and plumbing services in Charlotte, N.C., and the surrounding areas.

Pro forma for the transaction, the second-lien term loan will total $165 million.

Wrench Group is a provider of home maintenance and repair services specializing in heating, ventilation and air conditioning, plumbing, electrical and water quality services.

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