Delivery Hero, ASGN, Truist second-lien, Fertitta, Pacific Dental, Teneo and more break

By Sara Rosenberg

New York, March 8 – Delivery Hero SE set pricing on its term loan B at the low end of guidance, and ASGN Inc. finalized the spread on its term loan B at the low side of talk, and then these deals freed to trade on Friday.

Also, Truist Insurance Holdings LLC’s second-lien term loan broke for trading during the session, and price talk surfaced on its first-lien term loan B in connection with the lender call for that portion of its debt financing package.

Other deals to make their way into the secondary market included Fertitta Entertainment LLC, Pacific Dental Services LLC, Teneo Holdings LLC (Thor FinCo LLC) and First Brands Group LLC.

In addition, ICON plc firmed the spread on its term loan at the high end of revised talk but in line with initial talk, Flutter Entertainment plc finalized the original issue discount on its add-on term loan B at the tight end of guidance, and World Wide Technology Holding Co. LLC set the issue price on its term loan B at the tight end of talk.

Furthermore, Creative Artists Agency LLC trimmed pricing on its incremental first-lien term loan B and updated the original issue discount, and added a repricing of its existing first-lien term loan B to the mix, and Kestra Advisor Services Holdings A Inc., LifePoint Health Inc. and Generation Bridge Northeast LLC joined the near-term primary calendar.

Delivery sets spread, frees

Delivery Hero finalized pricing on its roughly $1.3 billion senior secured term loan B due December 2029 at SOFR plus 500 basis points, the low end of the SOFR plus 500 bps to 525 bps talk, according to a market source.

The term loan still has a 0.5% floor, an original issue discount of 99.5 and hard call protection of 103 in year one and 101 in year two.

On Friday, the term loan broke for trading, with levels quoted at par ¼ bid, par ¾ offered, the source added.

JPMorgan Chase Bank is the global coordinator, lead arranger and sole physical bookrunner on the deal. UniCredit, HSBC, Barclays, Goldman Sachs, Morgan Stanley, ING and Standard Chartered are joint lead arrangers on the U.S. term loan.

The U.S. term loan will be used to amend and extend the company’s existing $813 million term loan due August 2027 priced at SOFR plus 575 bps, to repurchase at least €300 million of selected outstanding convertible bonds below par and, if there are any remaining amounts, for general corporate purposes.

The company is also getting a roughly €550 million equivalent Korean Won term loan due December 2029 to replace and upsize its existing €300 million term loan due August 2027 and to repurchase outstanding debt.

Delivery Hero is a Berlin-based local delivery platform.

ASGN finalized, trades

ASGN set pricing on its $498.75 million covenant-lite term loan B due Aug. 31, 2030 at SOFR plus 175 bps, the low end of the SOFR plus 175 bps to 200 bps talk, a market source said.

The term loan still has a 0% floor, a par issue price and 101 soft call protection for six months.

In the afternoon, the term loan B freed to trade, with levels quoted at par bid, par ½ offered, the source added.

Wells Fargo Securities LLC is the left lead on the deal that will be used to reprice an existing term loan B due Aug. 31, 2030 down from SOFR plus 225 bps with a 0% floor.

ASGN is a Glen Allen, Va.-based provider of IT and professional services in the technology, digital, creative, engineering and life sciences fields across commercial and government sectors.

Truist second-lien breaks

Truist Insurance’s $1.9 billion eight-year senior secured covenant-lite second-lien term loan (Caa2/CCC+) started trading on Friday, with levels quoted at par ½ bid, 101½ offered, according to a trader.

Pricing on the second-lien term loan is SOFR plus 475 bps with a 0% floor and it was issued at par. The debt has hard call protection of 102 in year one and 101 in year two.

During syndication, pricing on the second-lien term loan was reduced from SOFR plus 500 bps and the issue price firmed at the tight end of the 99.5 to par talk.

One source said that this is the largest broadly syndicated second-lien loan and the tightest second-lien pricing ever in the syndicated loan market.

Stone Point Capital Markets and Morgan Stanley Senior Funding Inc. are leading the arranger group on the second-lien loan. Morgan Stanley is the administrative agent.

Truist term B guidance

Along with the second-lien term loan, Truist Insurance is getting a $4 billion seven-year covenant-lite first-lien term loan B (B2/B) that launched with a lender call in the morning and saw talk surface at SOFR plus 325 bps to 350 bps with a 0% floor, an original issue discount of 99.5 and 101 soft call protection for six months, another source remarked.

Commitments are due at 5 p.m. ET on March 21, the source added.

JPMorgan Chase Bank, Morgan Stanley Senior Funding Inc., BofA Securities Inc., Wells Fargo Securities LLC, Truist Securities Inc., Stone Point Capital Markets, Barclays, RBC Capital Markets, Citigroup Global Markets Inc., Goldman Sachs Bank USA, BNP Paribas Securities Corp., Mizuho and TD Securities (USA) LLC are leading the term loan B. JPMorgan is the administrative agent.

The Charlotte, N.C.-based insurance brokerage is also getting a $1.175 billion five-year revolver (B2/B).

The debt financing will be used to help fund the buyout of Truist Insurance by Stone Point Capital and Clayton, Dubilier & Rice from Truist Financial Corp. at an implied enterprise value of $15.5 billion. Mubadala Investment Co. and other co-investors are also participating in the investment.

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

Fertitta hits secondary

Fertitta Entertainment’s $3,542,250,000 first-lien term loan due Jan. 27, 2029 (B2/B) began trading during the session, with levels quoted at par bid, par ¼ offered, a market source said.

Pricing on the term loan is SOFR plus 375 bps with a 0.5% floor, and the debt has 101 soft call protection for six months. Of the total term loan amount, $300 million is a fungible add-on that was sold with an original issue discount of 99.75 and $3,242,250,000 is a repricing that was issued at par.

During syndication, the add-on was added to the transaction.

Jefferies LLC, Deutsche Bank Securities Inc., Rabobank, Capital One, Citigroup Global Markets Inc., Citizens, KeyBanc Capital Markets, Morgan Stanley Senior Funding Inc., Truist Securities and PNC are leading the deal.

The add-on will be used for general corporate purposes, and the repricing will take the company’s existing first-lien term loan down from SOFR plus 400 bps with a 0.5% floor.

Fertitta Entertainment is a diversified gaming, restaurant, hospitality and entertainment company.

Pacific Dental frees

Pacific Dental Services’ $1 billion seven-year term loan B (B1/B) broke as well, with levels quoted at par bid, 101 offered, according to a market source.

Pricing on the term loan is SOFR plus 325 bps with a 0% floor and it was sold at an original issue discount of 99.75. The loan has 101 soft call protection for six months.

During syndication, pricing on the term loan firmed at the low end of the SOFR plus 325 bps to 350 bps talk and the discount was tightened from 99.5.

BNP Paribas Securities Corp. is the left lead and sole bookrunner on the deal, and a joint lead arranger with BMO Capital Markets, BofA Securities Inc., Citigroup Global Markets Inc., JPMorgan Chase Bank, KeyBanc Capital Markets and Goldman Sachs Bank USA. BNP is the administrative agent.

The term loan will be used to refinance existing debt, to pay a $100 million shareholder dividend, to fund an additional $100 million future dividend to the balance sheet, to pay transaction fees and expenses, and for general corporate purposes.

Pacific Dental is an Irvine, Calif.-based provider of business support services to affiliate dental practices.

Teneo starts trading

Teneo Holdings’ $710 million seven-year covenant-lite first-lien term loan freed up too, with levels quoted at 99 3/8 bid, 99 7/8 offered on the break and then it traded up to 99½ bid, par offered, a trader remarked.

Pricing on the term loan is SOFR plus 475 bps with a 1% floor, and it was sold at an original issue discount of 99. The debt has 101 soft call protection for six months.

During syndication, the term loan was upsized from $690 million and pricing was set at the low end of the SOFR plus 475 bps to 500 bps talk.

The company’s $800 million of credit facilities (B2/B) also include a $90 million five-year revolver.

Nomura Securities, HSBC Securities (USA) Inc., Deutsche Bank Securities Inc. and Santander are leading the deal that will be used to refinance the company’s existing credit facilities, to fund cash to the balance sheet, the amount of which was increased with the recent term loan upsizing, and to pay fees and expenses.

Closing is expected during the week of March 11.

Teneo is a New York-based CEO advisory firm.

First Brands tops OID

First Brands Group’s fungible $525 million incremental first-lien term loan due March 30, 2027 emerged in the secondary market, with levels quoted at 99½ bid, par offered, according to a market source.

Pricing on the incremental U.S. term loan is SOFR+CSA plus 500 bps with a 1% floor, in line with existing U.S. term loan pricing, and it was sold at an original issue discount of 99.25. CSA is 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

The company is also getting a fungible €225 million incremental first-lien term loan due March 30, 2027 priced at Euribor plus 500 bps with a 1% floor, in line with existing euro term loan pricing, and it was issued at a discount of 99.

During syndication, the U.S. loan was increased from $400 million and the discount was revised from 99, and the euro loan was upsized from €200 million and the discount finalized at the tight end of the 98.5 to 99 talk.

First Brands lead

Jefferies LLC is leading the First Brands’ term loans that will be used to refinance the company’s existing 2024-I incremental first-lien term loan, to fund the purchase consideration for Factory Motor Parts Group, and to add cash to the balance sheet, the amount of which was increased with the recent term loan upsizings, for general corporate purposes including future mergers and acquisitions.

Pro forma for the transaction, the U.S. first-lien term loan will total about $1.69 billion and the euro first-lien term loan will total about €525 million.

First Brands is a Rochester, Mich.-based automotive aftermarket platform.

ICON finalized

ICON set pricing on its $2.976 billion term loan B due July 2028 (Baa3/BBB-) at SOFR plus 200 bps, the high end of revised talk of SOFR plus 175 bps to 200 bps but in line with original talk of SOFR plus 200 bps, a market source remarked.

As before, the term loan still has a 0.5% floor, no CSA, a par issue price and 101 soft call protection for six months.

Final election adjustments were due by 1:30 p.m. ET on Friday and allocations went out later in the day, the source added.

Citigroup Global Markets Inc., JPMorgan Chase Bank, Morgan Stanley Senior Funding Inc., Santander and HSBC Securities (USA) Inc. are leading the deal that will be used to reprice an existing term loan B down from SOFR+CSA plus 225 bps with a 0.5% floor. Current CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

Closing is expected during the week of March 11.

ICON is a Dublin-based provider of outsourced drug and device development and commercialization services.

Flutter updated

Flutter Entertainment firmed the original issue discount on its fungible $514,375,000 add-on term loan B due 2030 at 99.625, the tight end of the 99.375 to 99.625 talk, according to a market source.

Pricing on the add-on term loan is SOFR plus 225 bps with a 0.5% floor.

JPMorgan Chase Bank is leading the deal that will be used to refinance an existing term loan due 2028.

Flutter Entertainment is a Dublin-based sports betting and gaming operator.

World Wide firmed

World Wide Technology finalized the issue price on its $669 million term loan B due 2030 at par, the tight end of the 99.75 to par talk, a market source said.

Pricing on the term loan remained at SOFR+10 bps CSA plus 275 bps with a 0.5% floor.

JPMorgan Chase Bank is leading the deal that will be used to reprice an existing term loan B due 2030 down from SOFR+CSA plus 325 bps with a 0.5% floor. The existing loan is being paid down by about $75 million in connection with the transaction.

World Wide Technology is a St. Louis-based provider of information technology supply chain solutions.

Creative Artists revised

Creative Artists Agency lowered pricing on its fungible $125 million incremental first-lien term loan B due Nov. 26, 2028 to SOFR plus 325 bps from SOFR plus 350 bps and is now seeking a repricing of its existing first-lien term loan B due Nov. 26, 2028 to SOFR plus 325 bps from SOFR plus 350 bps, a market source remarked.

Additionally, the original issue discount on the incremental term loan was modified to 99.875 from initial talk at launch of 99.5, and the repricing has a par issue price, the source continued.

The $2.086 billion term loan B (B2/B+/B+), inclusive of the incremental and the repricing, has a 0% floor.

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

BofA Securities Inc., BNP Paribas Securities Corp., Credit Agricole, HSBC Securities (USA) Inc., JPMorgan Chase Bank, Mizuho, RBC Capital Markets and Truist Securities are leading the deal.

The incremental loan will be used to pre-fund the remainder of the CMC Capital buyout, fund cash to balance sheet, and pay respective fees and expenses.

Creative Artists is a Los Angeles-based entertainment and sports agency.

Kestra readies deal

Kestra Advisor set a lender call for 2 p.m. ET on Monday to launch $922.5 million of credit facilities, according to a market source.

The facilities consist of a $97.5 million five-year revolver and an $825 million seven-year first-lien term loan, the source said.

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

Commitments are due at noon ET on March 19, the source added.

UBS Investment Bank is the left lead on the deal that will be used to refinance the company’s existing first-lien credit facilities.

Kestra, a Warburg Pincus LLC portfolio company, is an Austin, Tex.-based wealth management platform supporting a broad range of independent financial advisers.

LifePoint joins calendar

LifePoint Health scheduled a lender call for 10:30 a.m. ET on Monday to launch a new loan to current and prospective lenders, a market source said.

Citigroup Global Markets Inc. is leading the deal.

LifePoint is a Brentwood, Tenn.-based operator of general acute care hospitals, community hospitals, regional health systems, physician practices, outpatient centers and post-acute care facilities.

Generation Bridge on deck

Generation Bridge Northeast will hold a lender call at 1 p.m. ET on Monday to launch a roughly $846.3 million senior secured term loan B due Aug. 22, 2029, according to a market source.

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

Consents and commitments are due at noon ET on Thursday, the source added.

Jefferies LLC is leading the deal that will be used to reprice an existing term loan B from SOFR plus 425 bps with a 0% floor.

Generation Bridge Northeast is an owner of power generation facilities in the Northeast representing about 5 GW of generation capacity diversified across three ISO markets.

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