Altice frees to trade; Chart Industries, BRP, Vistage disclose price talk with launch

By Sara Rosenberg

New York, Dec. 5 – Altice International finalized the size on its amended and extended U.S. term loan B while opting to leave some of its existing U.S. term loan B borrowings as non-extended tranches, and its extended loan made its way into the secondary market on Monday.

In more happenings, Chart Industries Inc., BRP Inc. (Bombardier Recreational Products Inc.) and Vistage Worldwide released price talk on their term loan transactions in connection with their lender calls, and Apex Group Ltd. and Altice USA joined this week’s primary calendar.

Altice updated

Altice firmed the size on its amended and extended U.S. term loan B due October 2027 at $1.6 billion, a market source remarked. No size was given on the extended U.S. term loan at launch, but it was said that it would replace an existing $910 million term loan B due 2025 and an existing $900 million term loan B due 2026, both priced at Libor plus 275 bps.

Following completion of the extension, the company will keep in place $182 million outstanding under the 2025 term loan B and $129 million outstanding under the 2026 term loan B.

The extended U.S. term loan is priced at SOFR plus 500 basis points with no CSA, a 0% floor and an original issue discount of 98, and has 101 soft call protection for one year.

As reported earlier, the company is also getting an extended €400 million term loan B due October 2027 priced at Euribor plus 500 bps with a 0% floor and a discount of 98. This tranche has 101 soft call protection for one year as well.

The size of the extended euro term loan finalized on Friday. At launch, no size was given on the extended euro loan, but it was said that it would replace an existing €300 million term loan B due 2026 priced at Euribor plus 275 bps.

Altice breaks

Altice’s extended U.S. term loan B freed to trade on Monday, with levels quoted at 98 1/8 bid, 98 5/8 offered, another source added.

The extended euro term loan B allocated during the session too.

In addition to extending existing debt, the extended term loans will be used for general corporate purposes.

JPMorgan Chase Bank and BNP Paribas Securities Corp. are leads on the deal, with JPMorgan the left lead on the U.S. loan and BNP the left lead on the euro loan. Passive bookrunners on the U.S. loan include Barclays, Credit Agricole, Goldman Sachs, ING, Morgan Stanley Senior Funding Inc. and RBC Capital Markets. Passive bookrunners on the euro loan include Barclays, Credit Agricole, Deutsche Bank Securities Inc., Goldman Sachs, ING, Morgan Stanley and RBC. JPMorgan is the agent on both loans.

Altice is a cable, telecommunications and entertainment company.

Chart holds call

Chart Industries emerged in the morning with plans to hold a lender call at 1 p.m. ET on Monday to launch a $1.315 billion seven-year term loan B talked at SOFR plus 375 bps to 400 bps with a 0.5% floor, an original issue discount of 97 and 101 soft call protection for six months, according to a market source.

The term loan has ticking fees of half the margin for days 31 to 60 and the full margin thereafter.

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

JPMorgan Chase Bank and Morgan Stanley Senior Funding Inc. are leading the deal that will be used with $1.31 billion of senior secured notes, $750 million of senior unsecured notes and $1.1 billion of preferred stock to fund the acquisition of Howden for $4.4 billion from KPS Capital Partners LP and pay associated fees and expenses.

Closing is expected in the first half of 2023, subject to regulatory approvals and other customary conditions.

Chart Industries is a Ball Ground, Ga.-based manufacturer of highly engineered equipment servicing the energy and industrial gas markets. Howden is a U.K.-based provider of mission critical air and gas handling products and services.

BRP shops incremental

BRP launched with a lender call at 3:15 p.m. ET a non-fungible $400 million seven-year incremental term loan B (BB) talked at SOFR plus 375 bps with a 0.5% floor, an original issue discount of 97 and 101 soft call protection for six months, a market source said.

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

RBC Capital Markets and Citigroup Global Markets Inc. are the joint lead arrangers on the deal. BMO Capital Markets and TD Securities (USA) LLC are joint bookrunners.

The loan will be used to repay outstanding revolver borrowings, to repay a $100 million term loan B-2 due 2024, for general corporate purposes and to pay related fees and expenses.

BRP is a Valcourt, Quebec-based designer, manufacturer, distributor and marketer of motorized recreational vehicles and powersports engines.

Vistage guidance

Vistage Worldwide held its call in the afternoon and announced original issue discount talk of 96 on its fungible $44 million add-on first-lien term loan, according to a market source.

Like the existing first-lien term loan, the add-on term loan is priced at SOFR+CSA plus 525 bps with a 0.75% floor. CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

Commitments are due at noon ET on Dec. 12, the source added.

Golub Capital is leading the deal that will be used to fund an acquisition.

Vistage is a San Diego-based member-based advisory company for executives of small and medium-sized businesses.

Apex joins calendar

Apex Group set a lender call for 9 a.m. ET on Tuesday to launch a fungible $400 million incremental term loan B (B1) due July 2028 talked with an original issue discount of 92 to 93, a market source remarked.

Pricing on the incremental term loan is SOFR plus 500 bps with a 0.5% floor, and the new loan and existing incremental term loan due July 2028 will get 101 soft call protection for six months.

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

BofA Securities Inc., Goldman Sachs Bank USA, JPMorgan Chase Bank and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to fund the acquisition of Pacific Fund Systems and for general corporate purposes, including other acquisitions.

If the Pacific Fund purchase does not close by Jan. 16, the incremental term loan will be repaid at its OID, plus all accrued and unpaid interest.

Apex Group is a financial services provider.

Altice USA on deck

Altice USA will hold a lender call at 11 a.m. ET on Tuesday to launch an extended term loan due January 2028 talked at SOFR plus 450 bps with no CSA, a 0% floor, an original issue discount of 98 and 101 soft call protection for one year, according to a market source.

The extended term loan would extend an existing $2.835 billion term loan B-1 due 2025 and an existing $1.227 billion term loan B-3 due 2026, both priced at Libor plus 225 bps with a 0% floor.

Commitments are due at noon ET on Friday and allocations expected on Dec. 12, the source added.

JPMorgan Chase Bank is leading the deal.

Altice USA is a broadband communications and video services provider.

Fund flows

In other news, actively managed loan fund flows on Friday were negative $205 million and loan ETFs were positive $88 million, market sources said.

Actively managed high-yield fund flows on Friday were positive $150 million and high-yield ETFs were positive $495 million, sources added.

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