Ciox, Royal Oak, Datasite, Sabre break; Planview, Flexera, US Radiology float changes

By Sara Rosenberg

New York, Dec. 10 – Ciox Health (CT Technologies Intermediate Holdings Inc.) lowered pricing on its first-lien term loan, added a step-down and modified the issue price, and Royal Oak Enterprises (Ozark Holdings LLC) finalized the spread on its first-lien term loan B at the low end of guidance, lowered the Libor floor and tightened the original issue discount, and then both of these deals hit the secondary market on Thursday.

Also, before freeing up for trading, Datasite reduced pricing on its U.S. and euro term loans and revised issue prices, and Sabre GLBL Inc. cut the spread and tightened the original issue discount on its incremental term loan B.

In more happenings, Planview firmed pricing on its first-lien term loan at the low end of talk and added a delayed-draw term loan to its capital structure, and Flexera Software LLC trimmed the spread on its incremental first-lien term loan, modified original issue discount guidance and added a maturity extension request for its existing first-lien term loan.

Furthermore, US Radiology Specialists Inc. increased the size of its revolver, removed its delayed-draw first-lien term loan, and widened the spread and original issue discount on its funded first-lien term loan.

Additionally, Cano Health LLC, Wheel Pros Inc. and MeridianLink Inc. accelerated the commitment deadlines for their loan transactions, and Cloudera Inc. and Asurion LLC disclosed price talk with launch.

Ciox revised, trades

Ciox Health trimmed pricing on its $670 million five-year covenant-lite first-lien term loan to Libor plus 500 basis points from Libor plus 525 bps, added a 25 bps step-down at 3.7x total net leverage and adjusted the original issue discount to 99.5 from 99, according to a market source.

As before, the term loan has a 1% Libor floor and 101 soft call protection for six months.

The company’s $720 million of credit facilities (B3/B-) also include a $50 million revolver.

Recommitments were due at noon ET on Thursday and the term loan began trading in the afternoon, with levels quoted at 99¾ bid, par ¼ offered, another source added.

Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance existing debt.

Ciox, formerly known as HealthPort, is an Alpharetta, Ga.-based provider of tech-enabled clinical data exchange services.

Royal Oak updated, breaks

Royal Oak firmed pricing on its $400 million seven-year senior secured first-lien term loan B at Libor plus 400 bps, the low end of the Libor plus 400 bps to 425 bps talk, cut the Libor floor to 0.75% from 1% and revised the original issue discount to 99.5 from 99, a market source said.

The term loan still has 101 soft call protection for six months.

Final commitments were due at 11 a.m. ET on Thursday and the term loan broke for trading later in the day, with levels quoted at 99¾ bid, par ½ offered, another source added.

Barclays and Citigroup Global Markets Inc. are leading the deal that will be used to repay an existing term loan and repurchase a minority interest to increase Mariposa Capital’s ownership in the company.

Royal Oak is a Roswell, Ga.-based manufacturer and distributor of fire-building products and other consumable products.

Datasite flexes, frees up

Datasite reduced pricing on its $300 million seven-year first-lien term loan (B2/B-) and €220 million seven-year first-lien term loan (B2/B-) to Libor/Euribor plus 425 bps from talk of Libor/Euribor plus 450 bps to 475 bps, changed original issue discount talk on both term loans to a range of 99 to 99.5 from talk of 98.5, and then finalized the discount at 99.5 later in the day, according to a market source.

As before, the U.S. term loan has a 0.75% Libor floor, the euro term loan has a 0% floor and both loans have 101 soft call protection for six months.

The U.S. term loan started trading during the session, with levels quoted at par bid, par ¾ offered, another source added.

J.P. Morgan Securities LLC, Blackstone, Deutsche Bank Securities Inc., MUFG and NatWest are leading the deal that will be used to replace a financing that was done to back the buyout of the company by CapVest Partners LLP and to fund tuck-in acquisitions.

Datasite is a Minneapolis-based SaaS provider for the mergers and acquisitions industry.

Sabre tightened, trades

Sabre lowered the spread on its non-fungible $637 million seven-year senior secured incremental term loan B (Ba3/B) to Libor plus 400 bps from talk in the range of Libor plus 450 bps to 475 bps and revised the original issue discount to 99 from 98.5, a market source remarked.

The term loan still has a 0.75% Libor floor.

The term loan made its way into the secondary market on Thursday, with levels quoted at par bid, par ½ offered, another source added.

BofA Securities, Inc., Mizuho Bank Ltd., Wells Fargo Securities LLC, Deutsche Bank Securities Inc., Citigroup Global Markets Inc., PNC Bank, Goldman Sachs Bank USA, Morgan Stanley Senior Funding, Inc., MUFG, J.P. Morgan Securities LLC and ING Bank are the joint bookrunners on the deal. BofA Securities is the sole lead arranger.

Sabre, a Southlake, Tex.-based software and technology company for the travel industry, will use $500 million of the proceeds to redeem its November 2023 secured notes, and $137 million of the proceeds to repay in full outstanding term loan A borrowings and a portion of the fees and expenses in connection with the prepayment.

Planview modified

In other news, Planview finalized pricing on its $535 million seven-year covenant-lite first-lien term loan at Libor plus 400 bps, the low end of the Libor plus 400 bps to 425 bps talk, and added a $125 million delayed-draw first-lien term loan to its capital structure, according to a market source.

The first-lien term loan still has a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

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

The company is also getting a $230 million eight-year second-lien term loan that has been fully preplaced.

UBS Investment Bank, Deutsche Bank Securities Inc., Barclays and Jefferies LLC are leading the deal that will be used to help fund the buyout of the company by TPG Capital and TA Associates for $1.6 billion.

The company’s existing majority shareholder, Thoma Bravo, will retain a minority interest following the buyout.

Planview is an Austin, Tex.-based provider of portfolio management and work management solutions.

Flexera reworked

Flexera Software cut pricing on its $285 million incremental first-lien term loan (B1/B-) due January 2028 to Libor plus 375 bps from talk in the range of Libor plus 400 bps to 425 bps and changed the original issue discount talk to a range of 99.5 to 99.75 from 99, a market source said.

The incremental term loan has a 25 bps step-down at 5x first-lien net leverage and a 0.75% Libor floor.

Furthermore, the company added a request for a maturity extension of its roughly $1.099 billion first-lien term loan to January 2028 from February 2025, and will revise pricing on the existing first-lien term loan to Libor plus 375 bps with a 25 bps step-down at 5x first-lien net leverage and a 0.75% Libor floor, from Libor plus 350 bps with a 1% Libor floor, the source continued.

The incremental first-lien term loan will be fungible with the existing first-lien term loan, resulting in a pro forma tranche size of about $1.384 billion. Previously, the incremental term loan was expected to be non-fungible.

The entire pro forma first-lien term loan tranche will have 101 soft call protection for six months, and the first-lien term loan has a ticking fee of half the margin from days 61 through 90 and the full margin thereafter.

Flexera lead banks

Jefferies LLC, BofA Securities, Inc., Barclays, UBS Investment Bank, Truist and Mizuho are leading Flexera’s transaction, which also includes a $65 million revolver (B1/B-) due February 2025 and a $260 million privately placed second-lien term loan due December 2028.

The second-lien term loan has hard call protection of 102 in year one and 101 in year two.

Commitments for the incremental term loan continue to be due at noon ET on Friday and consents from existing lenders for the extension are due at 3 p.m. ET on Tuesday, the source added.

Consenting lenders will roll at par and receive a 25 bps extension fee.

Allocations are expected in the middle of the Dec. 14 week.

The new debt raised will be used to fund the majority acquisition of the company by Thoma Bravo and will supplement the existing portable first-lien term loan.

Flexera is an Itasca, Ill.-based provider of software that allows software publishers, intelligent device manufacturers and software buyers to install, track, monitor and manage application usage to optimize utilization.

US Radiology tweaked

US Radiology Specialists lifted its revolver to up to $165 million from $100 million and canceled plans for a $135 million delayed-draw first-lien term loan, according to a market source.

Also, pricing on the funded $790 million seven-year first-lien term loan was changed to Libor plus 550 bps from talk in the range of Libor plus 475 bps to 500 bps, the original issue discount was revised to 98 from 98.5, and the 101 soft call protection was extended to one year from six months, with the removal of carve-out exceptions for change of control, qualified initial public offering, dividend recapitalizations and transformative acquisitions, the source said.

In addition, the permitted change of control was removed and the MFN was modified.

The term loan still has a 0.75% Libor floor.

Final commitments were scheduled to be due at 5 p.m. ET on Thursday, the source added.

Barclays, Capital One, Deutsche Bank Securities Inc., J.P. Morgan Securities LLC and Fifth Third are leading the deal that will be used to refinance the company’s existing capital structure and fund acquisitions.

US Radiology is a Raleigh, N.C.-based radiology group.

Cano moves deadline

Cano Health accelerated the commitment deadline for its $685 million of credit facilities (B3/B) to noon ET on Tuesday from 5 p.m. ET on Dec. 17, a market source remarked.

The facilities consist of a $30 million revolver, a $480 million funded seven-year covenant-lite first-lien term loan and a $175 million delayed-draw covenant-lite first-lien term loan.

The strip of funded and delayed-draw term loan debt is talked at Libor plus 500 bps to 525 bps with a 25 bps step-down at special purpose acquisition company closing and/or a 25 bps step-down at B2/B corporate family ratings, a 0.75% Libor floor and an original issue discount of 99.

Included in the term loan debt is 101 soft call protection for six months, and the delayed-draw term loan has a ticking fee of half the margin from days 31 to 60 and the full margin thereafter.

Cano recapitalizing

Cano Health will use its new credit facilities to refinance existing debt and fund a shareholder distribution.

Credit Suisse Securities (USA) LLC is leading the deal,

In November, the company announced a merger agreement with Jaws Acquisition Corp., a special purpose acquisition company, in a transaction that values Cano Health at about $4.4 billion.

Closing on the merger is expected at the end of the first quarter or the beginning of the second quarter of 2021.

Cano Health is a Miami-based tech-powered, value-based care delivery platform.

Wheel Pros accelerated

Wheel Pros moved up the commitment deadline for its fungible $130 million incremental first-lien term loan to 5 p.m. ET on Thursday from 5 p.m. ET on Friday, according to a market source.

Pricing on the incremental term loan is Libor plus 525 bps with a 1% Libor floor, in line with pricing on the company’s existing $685 million first-lien term loan.

Original issue discount talk on the incremental term loan is 97.5.

Antares Capital is leading the deal that will be used to finance an acquisition.

Wheel Pros, a Clearlake Capital portfolio company, is a Denver-based distributor of proprietary branded wheels and performance tires.

MeridianLink changes timing

MeridianLink accelerated the commitment deadline for its fungible $100 million incremental first-lien term loan to noon ET on Friday from 5 p.m. ET on Tuesday, a market source said.

Talk on the incremental term loan is Libor plus 400 bps with a step-down to Libor plus 375 bps when net first-lien leverage is 3x, a 1% Libor floor and an original issue discount of 99.03.

With this transaction, pricing on the company’s existing roughly $407 million first-lien term loan will be increased to Libor plus 400 bps from Libor plus 375 bps, and a step-down will be added to Libor plus 375 bps when net first-lien leverage is 3x.

All of the first-lien term loan debt is getting 101 soft call protection for six months.

Antares Capital and Golub Capital are leading the deal.

Proceeds from the incremental term loan will be used with balance sheet cash to fund two acquisitions and pay related fees and expenses, and for general corporate purposes.

MeridianLink, a Thoma Bravo, LLC portfolio company, is a Costa Mesa, Calif.-based provider of SaaS-based solutions to financial institutions.

Cloudera details emerge

Cloudera held its call on Thursday afternoon and launched to investors a $500 million seven-year senior secured covenant-lite term loan B (Ba3/BB-) talked at Libor plus 325 bps with a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

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

Citigroup Global Markets Inc., BofA Securities Inc., J.P. Morgan Securities LLC and Morgan Stanley Senior Funding Inc. are leading the deal that will be used for general corporate purposes, share repurchases, and to pay transaction related fees and expenses.

Closing is expected on Dec. 22.

Cloudera is a Santa Clara, Calif.-based enterprise data cloud company.

Asurion sets guidance

Asurion came out with talk of Libor plus 325 bps with a 0% Libor floor, an original issue discount of 97.5 to 98 and 101 soft call protection for six months on its $2.087 billion six-year term loan B-8 (Ba3/B+) that launched with an afternoon call, a market source remarked.

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

BofA Securities Inc., Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, Barclays, Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are leading the deal, which will be used to refinance an existing term loan B-4.

Asurion is a Nashville-based provider of technology protection services.

© 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.