LaserShip sets pricing on first- and second-lien term loans

By Sara Rosenberg

New York, April 30 – LaserShip (ASP LS Acquisition Corp.) firmed pricing on its $675 million seven-year first-lien term loan (B2/B-) at Libor plus 450 basis points, the high end of the Libor plus 425 bps to 450 bps talk, and on its $205 million eight-year second-lien term loan (Caa2/CCC) at Libor plus 750 bps, the low end of the Libor plus 750 bps to 775 bps talk, according to a market source.

Also, the first-lien term loan now has one 25 bps step-down at 0.75x inside closing date first-lien leverage and a 25 bps step-down following an initial public offering, instead of two leverage-based step-downs and an IPO-based step-down, and the original issue discount was tightened to 99.5 from 99, the source said.

As before, the first-lien term loan has a 0.75% Libor floor and 101 soft call protection for six months, and the second-lien term loan has a 25 bps step-down following an initial public offering, a 0.75% Libor floor, a discount of 98.5 and hard call protection of 102 in year one and 101 in year two.

The company’s $955 million of senior secured credit facilities also provide for a $75 million five-year revolver (B2/B-).

Jefferies LLC, RBC Capital Markets, UBS Investment Bank, Goldman Sachs Bank USA and Natixis are the lead arrangers on the deal.

Proceeds will be used to help fund the buyout of the company by American Securities LLC.

LaserShip is a regional last mile parcel delivery provider in the eastern U.S. with a focus on business to consumer deliveries for e-commerce retailers.

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