Arcis Golf firms $300 million term loan at Libor plus 425 bps

By Sara Rosenberg

New York, Nov. 19 – Arcis Golf LLC finalized pricing on its $300 million seven-year covenant-lite term loan B (B2/BB-) at Libor plus 425 basis points, the low end of the Libor plus 425 bps to 450 bps talk, according to a market source.

Also, the leverage-based pricing step-down was removed from the term loan, lender friendly changes were made to certain provisions of the incremental and MFN, debt incurrence, restricted payments and investments, and quarterly calls were added as well as J. Crew/Chewy protections, the source said.

The term loan still has a 25 bps pricing step-down upon an initial public offering, 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

Deutsche Bank Securities Inc., JPMorgan Chase Bank and Wells Fargo Securities LLC are the bookrunners on the deal. Deutsche is the administrative agent.

Recommitments were scheduled to be due at 10:30 a.m. ET on Friday, the source added.

Proceeds will be used to refinance existing debt.

Arcis, privately held by Atairos and Fortress Investment Group, is a Dallas-based owner and operator of golf private and daily fee clubs.

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