High Yield Calendar

Total amount of high-yield bond offerings being marketed: $1.800 billion

WEEK OF FEB. 7

INNOPHOS INVESTMENTS HOLDINGS INC.: $120 million senior floating-rate notes due 2015 (Caa2); Bear Stearns & Co.; fund a special $114 million dividend to its current shareholder, Bain Capital; Cranbury, N.J.-based producer of phosphoric acid and phosphates for use in specialty applications.

MERCER INTERNATIONAL: $300 million senior notes due 2013 (Caa1/B); RBC Capital Markets, Credit Suisse First Boston (joint), CIBC World Markets (co's); public offering; non-callable for four years; 35% equity clawback; also concurrent $100 million equity offering; to fund the acquisition of Celgar pulp mill in British Columbia and refinance existing debt; Mercer International is a Seattle-based pulp producer with facilities in Germany and British Columbia; price talk 9%-9¼%; expected to price Tuesday.

BUILDERS FIRSTSOURCE INC.: $250 million second-priority senior secured floating-rate notes due 2012 (expected ratings B3/B-); UBS Investment Bank, Deutsche Bank Securities; Rule 144A; non-callable for two years; also new credit facility; to pay a $237 million dividend to sponsor Joseph Littlejohn & Levy ahead of an IPO and repay existing debt; Dallas-based building materials company; price talk Libor plus 425-450; pricing Tuesday afternoon.

AMERICAN COMMERCIAL LINES LLC/ACL FINANCE CORP.: $200 million senior notes due 2015 (B3/B-); UBS Investment Bank, Banc of America Securities (joint), Merrill Lynch & Co. (co); Rule 144A/Regulation S; non-callable for five years; also $225 million asset-backed revolver; to repay existing $35 million asset-based revolver, repay its $225 million senior secured term loan, repay its $140 million junior secured term loan; Jeffersonville, Ind.-based marine transportation and services company; price talk 9 5/8%-9 7/8%; pricing Tuesday afternoon.

VALOR TELECOMMUNICATIONS ENTERPRISES LLC/FINANCE CORP.: $400 million (increased from $280 million) senior notes due 2015 (B1/B); Banc of America Securities, JP Morgan, Merrill Lynch & Co. (joint), CIBC World Markets, Wachovia Securities (co's), Rule 144A; non-callable for five years; to repay bank debt; Irving, Texas-based provider of telecom services in rural communities in the southwestern U.S.; price talk 7 5/8% area; pricing Tuesday.

HILITE INTERNATIONAL INC.: $150 million senior subordinated notes due 2012 (confirmed B3/expected B); JP Morgan (books), NatCity Investments (co); Rule 144A/Regulation S; non-callable for three years; to repay bank debt; Cleveland precision valve manufacturer for the automotive industry; will present on Feb. 2 at the JP Morgan High Yield Conference, then Feb. 7 in Boston, Feb. 8 in New York City; pricing late in the Feb. 7 week.

HYDROCHEM INDUSTRIAL SERVICES: $150 million senior subordinated notes due 2013 (Caa1/B-); Morgan Stanley, Credit Suisse First Boston; Rule 144A; non-callable for four years; three-year equity clawback; to refinance existing debt and help fund the acquisition of the company by Oak Tree Capital Management; Deer Park, Texas-based industrial cleaning services provider; roadshow started Feb. 2; pricing expected Feb. 7 week.

CPI HOLDCO INC.: $80 million senior floating-rate cash or PIK notes due 2015 (Caa1/B-); UBS Investment Bank (books), Wachovia Securities, Bear Stearns (joint bookrunners); Rule 144A/Regulation S; non-callable for one year; to fund a distribution to shareholders; leading manufacturer and distributor of vacuum electronic devices and other related equipment for defense applications; roadshow started Feb. 7; pricing Feb. 7 week.

HOLLY ENERGY PARTNERS LP: $150 million senior notes due 2015 (expected B3/confirmed B+); UBS Investment Bank (books), Banc of America Securities, Goldman Sachs & Co. (joint books); Rule 144A with registration rights; non-callable for five years; to help fund acquisition of pipeline and terminal assets of Alon USA for $120 million in cash and 937,500 Holly Energy Partners class B subordinated units, and repay debt; Holly Energy is a Dallas-based provider of refined petroleum product transportation and terminal services to the petroleum industry; roadshow started Feb. 7; pricing Friday.

ON THE HORIZON

ADELPHIA COMMUNICATIONS CORP.: $3.3 billion 10-year senior unsecured notes; non-callable for five years; part of $8 billion bond and bank loan exit financing from Chapter 11; Deutsche Bank Securities; Greenwood Village, Colo., cable television company.

AMERICAN LAWYER MEDIA INC.: New notes via Rule 144A; also $344.5 million credit facility; to help fund tender for $175 million 9¾% senior notes due 2007, Credit Suisse First Boston and UBS Securities dealer managers, expires Feb. 11; New York City-based integrated media company, focused on the legal and business communities.

DAVITA INC.: $4.3 billion debt financing new high-yield bonds and new credit facility; bank loan to back $3.05 billion acquisition of renal dialysis services company Gambro Healthcare and refinance existing credit facility; JP Morgan has committed financing; DaVita is a Torrance, Calif.-based provider of dialysis services for patients suffering from chronic kidney failure; interest rate on total net debt expected to be in the 6½% to 8% range.

GLOBAL MOTORSPORT GROUP INC.: $85 million senior secured notes due 2008 (B-); Jefferies & Co.; Rule 144A; non-callable for three years; to repay bank debt; Morgan Hill, Calif., aftermarket supplier of motorcycle parts.

HOLLYWOOD MERGER CORP.: $550 million in bonds; also $275 million credit facility to be led by UBS Securities LLC; part of its amended merger agreement with affiliates of Leonard Green & Partners LP; Wilsonville, Ore., video chain; expected end of the fourth quarter 2004, or early first quarter 2005.

MASONITE INTERNATIONAL CORP.: $825 million (approximate) high-yield bonds, multi-tranche expected; Scotia Capital expected to be involved; also approximately $1.525 billion credit facility, The Bank of Nova Scotia underwriter; to help fund Kohlberg Kravis Roberts & Co.'s acquisition of Masonite in an all cash transaction under which Masonite's shareholders will receive C$40.20 per share (total value of the transaction is about C$3.1 billion); Mississauga, Ont.-based building products company; expected February business.

MOVIE GALLERY INC.: $475 million senior notes; Wachovia Securities; also $720 million credit facility; to fund acquisition of Hollywood Entertainment Corp.; Movie Gallery is a Dothan, Ala.-based video rental chain.

PENN NATIONAL GAMING INC.: $300 million high-yield bonds; Deutsche Bank Securities; to back the $1.4 billion acquisition of Argosy Gaming Corp.; Wyomissing, Pa., gaming firm.

STAR GAS PARTNERS LP: $300 million public or private offering of debt securities; JP Morgan; also $300 million asset-based senior secured revolving credit facility; to support its working capital requirements for the near term; Stamford, Conn.-based distributor of home heating oil and propane.

VERIZON HAWAII: New high-yield bonds; also new credit facility to be led by JPMorgan, Goldman Sachs, Lehman Brothers (same banks to lead bond deal, although not necessarily in that order); to fund Carlyle Group's $1.65 billion acquisition of Verizon Hawaii from Verizon Communications Inc.; pending regulatory approvals.

ROADSHOWS

Started Feb. 2: HYDROCHEM INDUSTRIAL SERVICES $150 million; Morgan Stanley, Credit Suisse First Boston

Started Feb. 2 at the JP Morgan High Yield Conference: HILITE INTERNATIONAL INC. $150 million; JP Morgan

Started Feb. 7: CPI HOLDCO INC. $80 million; UBS Investment Bank

Started Feb. 7: HOLLY ENERGY PARTNERS LP $150 million; UBS Investment Bank

© 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.