Kissner finalizes $900 million term loan at Libor plus 400 bps

By Sara Rosenberg

New York, April 16 – Kissner (SCIH Salt Holdings Inc.) set pricing on its $900 million incremental covenant-lite first-lien term loan B due March 2027 at Libor plus 400 basis points, the high end of the Libor plus 375 bps to 400 bps talk, according to a market source.

Also, the original issue discount on the term loan firmed at 99.5, the tight end of the 99 to 99.5 talk, the source said.

The term loan still has a 0.75% Libor floor, 101 soft call protection for six months and amortization of 1% per annum.

The company’s $1.175 billion of senior secured credit facilities (B3/B) also include a $275 million incremental revolver due March 2025.

Morgan Stanley Senior Funding Inc., BofA Securities Inc., Deutsche Bank Securities Inc., BMO Capital Markets, Goldman Sachs Bank USA, Citigroup Global Markets Inc., Citizens Bank, Credit Suisse Securities (USA) LLC, JPMorgan Chase Bank, KKR Capital Markets and RBC Capital Markets are the joint lead arrangers and bookrunners on the deal. Morgan Stanley is the administrative agent.

Proceeds will be used with $1.1 billion of secured notes, $700 million of unsecured notes and $993 million of equity to fund the acquisition of K+S AG’s Americas salt business for $3.2 billion, refinance existing debt, and pay associated fees and expenses.

Closing is expected during the week of April 26.

Kissner, a subsidiary of Stone Canyon Industries Holdings LLC, is an Overland Park, Kan.-based pure-play producer and supplier of salt.

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