Asurion releases price talk on first- and second-lien term loans

By Sara Rosenberg

New York, June 19 – Asurion LLC came out with price talk on its $2.25 billion covenant-light first-lien term B-7 (B+) due November 2024 and $1.5 billion add-on covenant-light second-lien term loan (B-) due Aug. 4, 2025 with its lender call on Tuesday, according to a market source.

Talk on the first-lien term loan is Libor plus 300 basis points with a 0% Libor floor and an original issue discount of 99.5, and talk on the second-lien term loan is Libor plus 675 bps with a 0% Libor floor and a discount of 99 to 99.5, the source said.

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

Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, Barclays, Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are the arrangers on the $3.75 billion in term loans.

Commitments are due at noon ET on June 27, the source added.

Proceeds will be used to fund a share repurchase/return of capital.

Existing first-lien lenders are being offered a 50 bps consent fee and existing second-lien lenders are being offered a 75 bps consent fee.

Asurion is a Nashville-based provider of technology protection services.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.