Intrado breaks; Caesars, Cushman, Eisner updated; Oryx, AOC, American Greetings set talk

By Sara Rosenberg

New York, Jan. 24 – Intrado increased the size of its term loan B, trimmed the spread, removed all pricing step-downs and modified the original issue discount, and then the debt made its way into the secondary market on Tuesday.

Also, Caesars Entertainment Inc. upsized its term loan B, lowered pricing, added a step-down and revised original issue discount talk, Cushman & Wakefield modified the spread and issue price on its amended and extended term loan B, and EisnerAmper (Eisner Advisory Group LLC) firmed the original issue discount on its incremental term loan B-2 at the tight end of guidance.

Furthermore, Oryx Midstream Services Permian Basin LLC, AOC LLC (LSF11 A5 HoldCo LLC) and American Greetings Corp. released price talk with launch, and Franchise Group Inc. joined this week’s primary calendar.

Intrado reworked, frees

Intrado raised its seven-year term loan B to $875 million from $825 million, cut pricing to SOFR plus 400 basis points from SOFR plus 425 bps, eliminated the two 25 bps leverage-based pricing step-downs and changed the original issue discount to 98 from 97, according to a market source.

As before, the term loan has a 0.5% floor and 101 soft call protection for six months.

The company’s now $975 million of credit facilities (B2/B) also include a $100 million five-year revolver.

Recommitments were due at noon ET on Tuesday and the term loan broke for trading late in the day, with levels quoted at 98¾ bid, 99¾ offered, a trader added.

RBC Capital Markets, Credit Suisse Securities (USA) LLC, Jefferies LLC, JPMorgan Chase Bank, Goldman Sachs Bank USA and MUFG are leading the deal that will help fund the acquisition of Intrado Corp.’s Safety Business, which will continue to be called Intrado going forward, by Stonepeak Partners for $2.4 billion.

The equity financing for the transaction is being reduced as a result of the term loan upsizing.

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

Intrado is a provider of critical public emergency telecommunications services.

Caesars revised

Caesars Entertainment lifted its seven-year term loan B to $2.5 billion from $1.75 billion, lowered pricing to SOFR plus 325 bps from SOFR plus 375 bps, added a step-down to SOFR plus 300 bps when total leverage is less than or equal to 3.75x, and modified the original issue discount talk to 98.5 to 99 from 97.5, a market source remarked.

The term loan still has 10 bps CSA, a 0.5% floor and 101 soft call protection for six months.

Recommitments are due at noon ET on Wednesday, the source added.

JPMorgan Chase Bank is the left lead on the deal that will be used with $2 billion of senior secured notes, upsized recently from $1.25 billion, to repay Caesars Resort Collection LLC’s existing term B due 2024 and to pay related fees and expenses.

Due to the recent bond upsizing, the company cancelled plans to draw $415 million under its revolving credit facility and use $30 million of cash on hand for the transaction. Instead, the company is adding cash to its balance sheet for general corporate purposes, including optional debt repayment.

Caesars is a Reno, Nev.-based gaming and entertainment company.

Cushman flexes

Cushman & Wakefield lowered pricing on its amended and extended term loan B (BB) due January 2030 to SOFR plus 325 bps from SOFR plus 375 bps and firmed the original issue discount at 98, the tight end of the 97.5 to 98 talk, according to a market source.

The term loan still has 10 bps CSA and a 0.5% floor.

Recommitments were due at 11 a.m. ET on Tuesday, the source added.

JPMorgan Chase Bank is leading the deal that will be used to amend and extend a minimum of $1 billion of the company’s existing $2.6 billion term loan B due August 2025 that is priced at Libor plus 275 bps with a 0% floor.

Cushman & Wakefield is a Chicago-based commercial real estate services company.

EisnerAmper updated

EisnerAmper set the original issue discount on its fungible $150 million incremental covenant-lite term loan B-2 (B2/B-) due July 2028 at 96, the tight end of the 95 to 96 talk, a market source said.

Like the existing term loan B-2, the incremental term loan is priced at SOFR plus 525 bps with a 0.75% floor.

Earlier this week, the incremental term loan was upsized from $130 million.

Books closed at 4 p.m. ET on Tuesday and the loan allocated late in the day, the source added.

Deutsche Bank Securities Inc. is leading the deal that will be used to fund near-term acquisitions.

EisnerAmper is a New York-based professional services firm with a full suite of accounting, tax and advisory services.

Oryx proposed terms

Oryx Midstream held its lender call on Tuesday morning and announced talk on its $300 million incremental term loan B (Ba3/BB-/BB) due Oct. 5, 2028 at SOFR+10 bps CSA plus 325 bps with a 0.5% floor, an original issue discount of 98 to 98.5 and 101 soft call protection for six months, according to a market source.

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

Barclays is the left lead on the deal that will be used to fund a dividend to the sponsor, recapitalize the company’s balance sheet, and pay associated fees and expenses.

Stonepeak Partners is the sponsor.

Oryx Midstream is a Midland, Tex.-based midstream crude operator in the Permian Basin.

AOC sets talk

AOC came out with talk of SOFR+10 bps CSA plus 425 bps with a 0.5% floor, an original issue discount of 96 to 96.5 and 101 soft call protection for six months on its non-fungible $350 million incremental term loan (B1/B) due October 2028 that launched with a call in the morning, a market source remarked.

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

BofA Securities Inc. is the left lead on the deal, which will be used with cash on hand to fund a shareholder distribution.

AOC is a Schiphol, Netherlands-based producer of specialty resins.

American Greetings guidance

American Greetings launched on its afternoon call its roughly $282 million senior secured first-lien term loan (Ba3) due April 6, 2026 at talk of SOFR plus 475 bps to 500 bps with a 1% floor, an original issue discount of 97 and 101 soft call protection for six months, according to a market source.

The term loan has no CSA.

Commitments are due at 5 p.m. ET on Monday, the source added.

Barclays is leading the deal that will be used to amend and extend an existing roughly $282 million senior secured first-lien term loan due April 2024, which is priced at Libor plus 450 bps with a 1% floor.

American Greetings is a Cleveland-based celebration solutions provider, offering greeting cards, gift packaging, party goods, gifting products and digital offerings.

Franchise on deck

Franchise Group will hold a lender call on Wednesday to launch a non-fungible $200 million add-on first-lien term loan (B+) due March 10, 2026, according to an 8-K filed with the Securities and Exchange Commission on Tuesday.

The add-on term loan has 101 soft call protection for six months.

Commitments are due on Monday, with allocations expected on Jan. 31.

JPMorgan Chase Bank is leading the deal that will be used to repay ABL credit facility borrowings.

Pro forma secured net leverage is expected to be 2.49x and total net leverage is expected to be 3.22x.

Franchise Group is a Delaware, Ohio-based owner and operator of franchised and franchisable businesses.

Fund flows

In other news, actively managed loan fund flows on Monday were negative $19 million and loan ETFs were positive $46 million, market sources said.

Outflows for loan funds week-to-date total an estimated $77 million, sources added. The prior week saw inflows of $35 million.

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