Swissport sets U.S., euro term loan tranche sizes, updates pricing

By Sara Rosenberg

New York, March 26 – Swissport set its U.S. seven-year term loan B size at $625 million and its euro seven-year term loan B at €625 million, versus initial talk of a €1.2 billion equivalent U.S. and euro term loan with the U.S. portion having a minimum size of $500 million, according to a market source.

Also, pricing on the U.S. and euro term loans (B2/B+/BB+) was lowered to SOFR/Euribor plus 425 basis points from revised talk of SOFR/Euribor plus 450 bps and initial talk in the range of SOFR/Euribor plus 450 bps to 475 bps, the source said.

In addition, the original issue discount talk on the U.S. term loan was changed to a range of 99.25 to 99.5 from revised talk in the range of 98.5 to 99 and initial talk in the range of 98 to 98.5, and the discount on the euro term loan firmed at 99, the tight end of revised talk of 98.5 to 99 and tighter than initial talk in the range of 98 to 98.5.

The U.S. and euro term loans still have a 0% floor and 101 soft call protection for six months.

JPMorgan Chase Bank is the physical bookrunner on the U.S. term loan. Barclays, BofA Securities Inc. and JPMorgan are the physical bookrunners on the euro term loan. Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc. and UBS Investment Bank are the senior joint bookrunners, and Goldman Sachs, Natixis, NatWest, RBC Capital Markets and Santander are joint bookrunners. JPMorgan is the administrative agent.

Commitments were scheduled to be due at 5 p.m. ET on Tuesday for the U.S. term loan and are due at 6 a.m. ET on Wednesday for the euro term loan, the source added.

Proceeds will be used to repay existing debt, fund a capital return to shareholders, add cash to the balance sheet, and pay transaction related fees and expenses.

Radar Bidco Sarl is a borrower under both term loans, and Swissport Stratosphere USA LLC is a borrower on the U.S. term loan.

Swissport is a Zurich-based provider of mission critical airport handling services.

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