Autokiniton finalizes $375 million add-on term loan at 99.5 OID

By Sara Rosenberg

New York, Sept. 17 – Autokiniton US Holdings Inc. firmed the original issue discount on its $375 million add-on senior secured covenant-lite term loan B due April 2028 at 99.5, the tight end of the 99 to 99.5 talk, according to a market source.

Pricing on the add-on term loan is Libor plus 450 basis points with a 25 bps step-down inside 2.61x total net first-lien leverage and a 0.5% Libor floor, in line with existing term loan B pricing.

Included in the add-on term loan is 101 soft call protection for six months and amortization of 1% per annum.

Earlier in syndication, the add-on term loan was upsized from $300 million.

Citigroup Global Markets Inc. and BofA Securities Inc. are the lead arrangers on the deal. Citigroup is the administrative agent.

Proceeds will be used to fund a dividend to shareholders.

Along with this transaction, the company is seeking consent from lenders for a one-time restricted payment basket for the special dividend.

Commitments and amendment consents continued to be due at noon ET on Friday, the source added.

Closing is expected during the week of Sept. 20.

Autokiniton is a New Boston, Mich.-based provider of automotive components and assembly solutions.

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