Interactive Data, Hearthside, Pier 1, Hi-Crush, Campaign Monitor break; Biomet up on buyout

By Sara Rosenberg

New York, April 24 - Interactive Data Corp., Hearthside Group Holdings LLC, Pier 1 Imports Inc., Hi-Crush Partners LP and Campaign Monitor freed up for trading on Thursday, and Biomet Inc.'s term loan B-2 was a touch stronger as news emerged that the company is being acquired by Zimmer Holdings Inc.

Over in the primary, Technicolor (Tech Finance & Co. SCA) raised the spread on its U.S. and euro term loans and adjusted the offer price, Institutional Shareholder Services Inc. updated pricing on its first- and second-lien term loans, and Potpourri Group Inc. added a pricing step-down to its deal.

In addition, Environmental Resources Management, Connolly Inc., Schaeffler, American Rock Salt, Jonah Energy LLC, Capella Healthcare, PSC Industrial Services and Grande Communications revealed talk with launch.

Furthermore, New Media Investment Group and USI Insurance Services disclosed original issue discount guidance, Ortho-Clinical Diagnostics Inc. and Doosan Infracore Bobcat Holdings joined the near-term calendar, and The SI Organization Inc. set its bank meeting date.

Interactive Data frees up

Interactive Data's credit facility began trading on Thursday, with the $1.9 billion seven-year covenant-light term loan quoted at 99¾ bid, par offered, according to a trader.

Pricing on the term loan is Libor plus 375 basis points with a 1% Libor floor and it was sold at a discount of 991/2. There is 101 soft call protection for six months.

During syndication, the term loan size firmed at the high end of revised talk of $1.85 billion to $1.9 billion but down from initial talk of $2.05 billion, and pricing was increased from Libor plus 325 bps.

The company's $2.06 billion credit facility (B2/B+) also includes a $160 million five-year revolver.

Interactive Data lead banks

Bank of America Merrill Lynch, Goldman Sachs Bank USA, Barclays, Credit Suisse Securities (USA) LLC, UBS Securities LLC, Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc. and Well Fargo Securities LLC are leading Interactive Data's credit facility.

Proceeds will be used to refinance existing term loans, redeem 10¼% senior notes due 2018 and fund a roughly $273 million dividend.

Other funds for the transaction will come from $350 million of notes that were upsized from $200 million.

Interactive Data is a Bedford, Mass.-based provider of financial market data.

Hearthside hits secondary

Hearthside's credit facility broke, with the $565 million seven-year covenant-light first-lien term loan quoted at 99¾ bid, par ¼ offered, according to a trader.

Pricing on the term loan is Libor plus 350 bps with a 1% Libor floor and it was sold at an original issue discount of 991/2. The debt has 101 soft call protection for one year, and a ticking fee of 175 bps from days 31 to 60 post allocations and 350 bps from days 61 through Aug. 17.

During syndication, the term loan was downsized from $575 million, pricing firmed at the high end of the Libor plus 325 bps to 350 bps talk, and the call protection was extended from six months.

The company's $665 million credit facility (B1/B) also includes a $100 million five-year revolver.

Hearthside lead banks

Barclays, Goldman Sachs Bank USA, Deutsche Bank Securities Inc., Fifth Third Securities Inc. and KeyBanc Capital Markets are leading Hearthside's credit facility will be used to help fund its buyout by Goldman Sachs and Vestar Capital Partners from Wind Point Partners.

For the buyout, the company is also getting $300 million of notes that were upsized from $270 million in order to refinance capital leases.

Closing is expected in the second quarter.

Senior secured leverage is 4.4 times and total leverage is 6.8 times.

Hearthside is a Downers Grove, Ill.-based bakery and contract food manufacturer.

Pier 1 revised, breaks

Pier 1 increased pricing on its $200 million senior secured term loan B (B1/B+) due in 2021 to Libor plus 350 bps from Libor plus 300 bps, moved the original issue discount to 99 from 991/2, extended the 101 soft call protection to one year from six months and removed the 18-month MFN sunset provision, according to a market source. The 1% Libor floor was unchanged.

With final terms in place, the loan hit the secondary in the afternoon, with levels quoted at 99¼ bid, 99¾ offered, a trader said.

Bank of America Merrill Lynch and Wells Fargo Securities LLC are leading the deal that will be used for general corporate purposes, including working capital needs and capital expenditures, and share repurchases and dividends.

Pier 1, a Fort Worth, Texas-based importer and retailer of home decor and furniture, expects to close on the loan this month.

Hi-Crush starts trading

Hi-Crush Partners' $200 million seven-year senior secured term loan B (B2/B) freed up as well, with levels quoted at 99½ bid, par ½ offered, a trader remarked.

Pricing on the loan is Libor plus 375 bps, after firming at the tight end of the Libor plus 375 bps to 400 bps talk. There is a 1% Libor floor and 101 soft call protection for one year, and the debt was sold at a discount of 99.

Closing is targeted for Monday.

Morgan Stanley Senior Funding Inc., Barclays and UBS Securities LLC are leading the deal that will be used to help fund the acquisition of certain equity interests in Hi-Crush Augusta LLC, the owner of a raw frac sand processing facility located in Augusta, Wis., for $224.25 million.

In addition to the term loan, the company plans on getting a $150 million revolver led by Amegy Bank.

Closing is subject to regulatory approvals and other conditions.

Hi-Crush is a Houston-based integrated producer, transporter, marketer and distributor of high-quality monocrystalline sand.

Campaign tops OID

Campaign Monitor's credit facility broke too, with the $160 million seven-year first-lien covenant-light term loan seen at 98 bid, 98½ offered, a source said.

Pricing on the term loan is Libor plus 525 bps with a 1% Libor floor and it was sold at an original issue discount of 971/2. There is 101 soft call protection for one year.

During syndication, the spread was lifted from talk of Libor plus 475 bps to 500 bps and the discount widened from 99.

The company's $170 million credit facility (B3/B) also includes a $10 million five-year revolver.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to help fund the buyout of the company by Insight Venture Partners.

Campaign Monitor is a SaaS email marketing platform.

Biomet inches up

In more trading news, Biomet's term loan B-2 moved to 99 7/8 bid, par 1/8 offered from 99¾ bid, par offered following an announcement that it is being purchased by Zimmer Holdings in a cash and stock transaction valued at about $13.35 billion, including the assumption of net debt, according to a trader.

Specifically, Biomet is being bought for $10.35 billion in cash and $3 billion of Zimmer common stock.

Investment grade-rated, Zimmer, expects to fund the acquisition with cash on hand, a new $3 billion senior unsecured term loan and new senior notes, and with the transaction, Zimmer expects to refinance some of its debt, including its existing $250 million notes due 2014 and outstanding bank debt, and certain Biomet debt.

Closing is expected in the first quarter of 2015, subject to customary conditions and regulatory approvals.

Biomet is a Warsaw, Ind.-based manufacturer of musculoskeletal biomedical devices. Zimmer is a Warsaw, Ind.-based manurfacturer of orthopaedic reconstructive, spinal and trauma devices, dental implants and related surgical products.

Technicolor tweaks deal

Switching to the primary Technicolor lifted the spread on its $844 million term loan (B-) due July 10, 2020 and €321 million term loan (B-) due July 10, 2020 to Libor/Euribor plus 450 bps from talk of Libor/Euribor plus 400 bps to 425 bps, and is now offering the loans at an original issue discount of 991/2, instead of at par on the existing and 99½ on new money, according to a market source.

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

Recommitments were due at 2 p.m. ET on Thursday, the source remarked.

Morgan Stanley Senior Funding Inc. is leading the senior secured loans that will be used to reprice the company's existing U.S. term loan from Libor plus 600 bps with a 1.25% Libor floor and its existing euro term debt.

Closing is expected on April 30.

Technicolor is a technology company focused on the media and entertainment sector.

Institutional Shareholder updated

Institutional Shareholder Services widened pricing on its $167 million first-lien term loan B (B2) to Libor plus 400 bps from Libor plus 375 bps and extended the 101 soft call protection to one year from six months, according to a market source.

The first-lien loan still has a 1% Libor floor and an original issue discount of 991/2.

As for the $73 million second-lien term loan (Caa2), pricing firmed at Libor plus 750 bps, the high end of the Libor plus 725 bps to 750 bps talk, the source said.

The second-lien term loan still has a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two.

The company's $260 million credit facility also includes a $20 million revolver (B2).

Institutional Shareholder buyout

Proceeds from Institutional Shareholder's credit facility and equity will be used to fund its buyout by Vestar Capital Partners from MSCI Inc. for $364 million.

GE Capital Markets and SunTrust Robinson Humphrey Inc. are leading the deal.

Recommitments were due at 5 p.m. ET on Thursday, the source added.

Closing is expected in the second quarter, subject to customary conditions.

Institutional Shareholder Services is a provider of corporate governance services to the financial community.

Potpourri adds step

Potpourri Group added a step-down to Libor plus 425 bps when net leverage is 3.5 times to its $188 million credit facility, according to a market source.

Initial pricing on the deal remained at Libor plus 450 bps with a 1% Libor floor and an original issue discount of 991/2.

The facility consists of a $25 million five-year revolver and a $163 million six-year term loan.

GE Capital Markets is leading the deal that allocated on Thursday and is expected to close on Friday.

Proceeds will be used to refinance existing senior and junior debt and to fund a preferred dividend.

Pro forma net senior/total leverage will be 4 times.

Potpourri is a North Billerica, Mass.-based multi-title catalog company offering products in home decor, casual apparel, gifts and unique accessories.

Environmental Resources launch

Also in the primary, Environmental Resources Management held its bank meeting on Thursday, launching its $655 million seven-year covenant-light first-lien term loan (B) with talk of Libor plus 450 bps with no Libor floor, an original issue discount of 99½ and 101 soft call protection for one year, according to a market source.

And, the $175 million eight-year covenant-light second-lien term loan (CCC+) was launched at Libor plus 700 bps with a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two, the source said.

Commitments are due on May 7.

Deutsche Bank Securities Inc., BNP Paribas Securities Corp. and HSBC Securities (USA) Inc. are leading the $830 million deal, with Deutsche left lead on the first-lien loan and BNP left lead on the second-lien loan.

Proceeds will be used to refinance debt and fund a dividend to shareholders.

Environmental Resources is a provider of environmental, health, safety, risk and social consulting services.

Connolly terms emerge

Connolly disclosed talk on its $810 million seven-year first-lien term loan at Libor plus 350 bps to 375 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months, and on its $265 million eight-year second-lien term loan at Libor plus 650 bps to 675 bps with a 1% Libor floor, a discount of 99 and call protection of 102 in year one and 101 in year two, a source said.

The company's $1.15 billion credit facility, which launched with a morning bank meeting, also includes a $75 million five-year revolver.

Commitments are due on May 5, the source added.

Goldman Sachs Bank USA, left on the first-lien, RBC Capital Markets, left on the second-lien, Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc. and Bank of America Merrill Lynch are leading the deal that will be used to help fund the company's merger with iHealth Technologies.

Connolly is a Wilton, Conn.-based technology-enabled provider of recovery audit services. iHealth Technologies is an Atlanta-based health care analytics company.

Schaeffler guidance

Schaeffler launched with a call its new U.S./euro six-year term loan with talk of Libor/Euribor plus 300 bps to 325 bps with a 0.75% floor, an original issue discount of 99¾ and 101 soft call protection for six months, according to a market source.

Proceeds will be used to refinance an existing roughly €1.6 billion term loan C, split between a €299 million tranche and a $1,699,000,000 tranche, with a potential upsizing for general corporate purposes.

Consents are due on May 2, and commitments and cashless rolls are due on May 7, the source said.

Deutsche Bank Securities Inc., HSBC Securities, Barclays, BayernLB, BNP Paribas Securities Corp., Citigroup Global Markets Inc., Commerzbank, J.P. Morgan Securities LLC, LBBW and UniCredit are leading the deal, with Deutsche Bank left on the U.S. piece and HSBC left on the euro piece.

Schaeffler is a Herzogenaurach, Germany-based manufacturer of bearings for autos & industrial OEMs.

American Rock talk

American Rock Salt set talk on its $350 million first-lien covenant-light term loan (B3/B) at Libor plus 325 bps to 350 bps with a 1% Libor floor and an original issue discount of 991/2, and on its $120 million second-lien covenant-light term loan (Caa1/CCC) at Libor plus 650 bps to 675 bps with a 1% Libor floor and a discount of 99, a source said.

The first-lien loan has 101 soft call protection for six months, and the second-lien loan has call protection of 103 in year one, 102 in year two and 101 in year three.

Commitments are due in two weeks, the source added.

RBS Citizens and RBC Capital Markets are leading the deal that launched on Thursday, with RBS the left lead on the first-lien loan and RBC the left lead on the second-lien loan.

Proceeds will be used to refinance an existing term loan B and second-lien notes, the source said.

American Rock Salt is a Retsof, N.Y.-based salt mine operator.

Jonah details surface

Jonah Energy held its bank meeting, launching a $400 million senior secured covenant-light seven-year second-lien term loan with talk of Libor plus 625 bps with a 1% Libor floor, an original issue discount of 98½ and call protection of 102 in year one and 101 in year two, a market source remarked.

Commitments are due at 5 p.m. ET on May 2, the source added.

Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Wells Fargo Securities LLC, Morgan Stanley Senior Funding Inc. and Nomura are leading the deal that will be used to help fund the acquisition by TPG Capital of Encana Corp.'s interests in certain natural gas properties in the Jonah Field located in Sublette County, Wyo., for around $1.8 billion.

Closing is expected in the second quarter, subject to customary conditions and regulatory approvals.

Capella launches loans

Capella Healthcare held its bank meeting, launching a $425 million first-lien term loan B (B1/B) talked at Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99 to 99½ and 101 soft call protection for six months, according to sources.

The company also launched a $160 million second-lien term loan (Caa1/CCC+) talked at Libor plus 700 bps with a 1% Libor floor, a discount of 99 and call protection of 102 in year one and 101 in year two, and a $100 million amended and extended ABL revolver.

Bank of America Merrill Lynch, Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC are leading the deal that will be used to refinance $500 million 9¼% senior notes due 2017, purchase certain capital leases and for general corporate purposes.

Total first-lien debt is 4.75 times, total senior secured debt is 6.48 times and total net debt is 6.3 times.

Capella Healthcare is a Franklin, Tenn.-based developer and operator of health care facilities.

PSC discloses pricing

PSC Industrial Services released talk of Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on its $175 million six-year term loan B in connection with its bank meeting, according to a market source.

The company's $215 million credit facility also includes a $40 million five-year revolver.

Commitments are due on May 8, the source said.

RBC Capital Markets and Jefferies Finance LLC are leading the deal that will be used to fund a shareholder distribution.

PSC is a Houston-based integrated industrial services company.

Grande holds call

Grande Communications held a call on Thursday to launch a $55 million add-on term loan with talk of Libor plus 350 bps with a 1% Libor floor - in line with the existing term loan - and an original issue discount of 99, market sources said.

Commitments are due on May 1, sources added.

SunTrust Robinson Humphrey Inc. and TD Securities (USA) LLC are leading the deal that will be used to fund a dividend and add cash to the balance sheet.

Grande is a San Marcos, Texas-based broadband communications company that offers a full suite of internet, TV and phone services.

New Media discount

New Media Investment Group launched in the morning its $200 million term loan B with original issue discount talk of 991/4, according to a market source.

Talk on the B loan, which came out prior to launch, is Libor plus 500 bps with a 1% Libor floor and 101 soft call protection for six months.

The company's $225 million credit facility also includes a $25 million revolver.

RBS Citizens and Credit Suisse Securities (USA) LLC are leading the deal that will be used to refinance existing debt.

New Media is a New York-based publisher of locally based print and online media.

USI OID talk

USI Insurance Services released original issue discount talk of 98¾ to 99 on its fungible $125 million add-on term loan that launched with a call during the session, according to a market source.

As previously reported, pricing on the add-on matches the existing term loan at Libor plus 325 bps with a 1% Libor floor.

The add-on and the existing term loan will get 101 soft call protection for six months, the source said.

Commitments are due at noon ET on Tuesday.

Bank of America Merrill Lynch is left lead on the deal that will be used by the Valhalla, N.Y.-based insurance broker to fund the purchase of 42 insurance brokerage and consulting locations from Wells Fargo Insurance.

Closing is expected in the second quarter.

Ortho-Clinical on deck

Ortho-Clinical Diagnostics set a bank meeting for 2:30 p.m. ET on Monday to launch a $2,525,000,000 senior secured credit facility, according to a market source.

The facility consists of a $350 million five-year revolver and a $2,175,000,000 seven-year term loan, the source said.

Barclays, Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, UBS Securities LLC and Nomura are leading the deal that will be used with equity and bonds to fund the $4.15 billion buyout of the company by the Carlyle Group from Johnson & Johnson.

Closing is expected in the middle of this year, subject to customary regulatory approvals.

Ortho-Clinical Diagnostics is a Raritan, N.J.-based provider of services for screening, diagnosing, monitoring and confirming diseases.

Doosan readies deal

Doosan Infracore Bobcat scheduled a bank meeting for Monday to launch a $1.4 billion credit facility, according to sources.

The facility consists of a $100 million five-year ABL revolver, and a $1.3 billion seven-year term loan B talked at Libor plus 350 bps to 375 bps with a 1% Libor floor and an original issue discount of 991/2, sources said.

J.P. Morgan Securities LLC is leading the deal that will be used by the manufacturer of construction equipment to refinance existing debt.

SI reveals timing

SI Organization nailed down timing on its $590 million senior secured credit facility, with the bank meeting set to take place at 11 a.m. ET in New York on May 1, a source said. Previously timing for the launch was described as early-to-mid May.

The facility consists of a $50 million five-year revolver, a $490 million six-year first-lien term loan with a 1% Libor floor and a $50 million six-year final maturity delayed-draw term loan, the source continued.

UBS Securities LLC and RBC Capital Markets are leading the deal that will be used to help fund the purchase of QinetiQ North America Services and Solutions Group and refinance existing bank debt.

Closing is expected in the second quarter, subject to customary conditions, including regulatory approvals.

SI is a Chantilly, Va.-based provider of analytical and technical information services for the U.S. government. QinetiQ is a Reston, Va.-based provider of technology and responsive services focusing on the U.S. government.

Technimark well-met

In other news, Technimark's $249 million credit facility is oversubscribed and wrapping at initial terms, according to a market source.

The facility consists of a $30 million revolver and a $219 million seven-year term loan B priced at Libor plus 350 bps with a 1% Libor floor and an original issue discount of 991/2.

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

GE Capital Markets is leading the deal that will be used to help finance the buyout of the company by the Pritzker Group.

Technimark is an Asheboro, N.C.-based injection molding company.

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