High Yield Calendar: $800 million and €350 million deals being marketed

May 16 Week

PRIVATE NATIONAL MORTGAGE ACCEPTANCE CO., LLC and PNMAC FINANCE CORP. indirect controlled subsidiaries of PENNYMAC FINANCIAL SERVICES, INC.: $300 million five-year senior notes (expected ratings B2/B+); J.P. Morgan Securities LLC, Barclays, BofA Merrill Lynch, Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. (joint); Rule 144A for life and Regulation S; non-callable; to repay debt under the revolver and for general corporate purposes; Moorpark, Calif.-based mortgage services company; roadshow started May 16; early guidance low-to-mid 9% range; pricing expected May 19.

VEREIT OPERATING PARTNERSHIP LP the operating partnership of VEREIT, INC.: $500 million senior notes due 2026; J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., Capital One, Goldman Sachs & Co., Morgan Stanley & Co. LLC (joint), BofA Merrill Lynch, Wells Fargo Securities LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Regions Securities, Stifel Nicolaus, U.S. Bancorp Investments Inc. (co's); SEC registered; non-callable; proceeds, together with proceeds from a concurrent new $300 million term loan A, and about $27 million of cash on hand or a draw on its revolver, to fund the redemption of $800 million 2% senior notes due 2017; Phoenix-based manager of retail, restaurant, office and industrial real estate assets; early guidance 5 1/8% area; pricing expected May 19.

DELL INC.: Up to $25 billion in senior secured and unsecured notes backed by a commitment for a $16 billion senior secured bridge facility and a $9 billion senior unsecured bridge; Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC; also $20.5 billion credit facility; to help fund the acquisition of EMC Corp. in a transaction valued at about $67 billion, expected to close in the middle part of 2016; Dell is a Round Rock, Texas-based technology and services company; EMC is a Hopkinton, Mass.-based technology company; $16 billion minimum secured notes (BBB-) expected to launch in May 16 week: expected tranches three-year notes, initial price talk Libor equivalent plus 325 bps (earlier whisper in the 4% context), five-year notes, initial talk Libor equivalent plus 375 bps (earlier whisper in the 4¾% context), seven-year notes, initial price talk Treasuries plus 437.5 bps (earlier whisper in the 5½% context), 10-year notes, initial price talk Treasuries plus 475 bps (earlier whisper was 6% area), 20-year notes, initial price talk Treasuries plus 600 bps (earlier guidance in the 8% context), and 30-year notes, initial price talk Treasuries plus 625 bps (earlier whisper in the 8% context), expected to price early-to-mid May 16 week; expected $3.25 billion high-yield notes to follow later in May 16 week or May 23 week.

Expected May Business

BARRY CALLEBAUT AG: €350 million senior fixed-rate notes with a maturity of eight to 10 years; Credit Suisse, ING, Rabobank, SG CIB (joint lead managers and active bookrunners); Regulation S only; to repay debt and general corporate purposes; Zurich-based chocolate-maker; roadshow started May 11.

HOIST KREDIT AB, a fully owned subsidiary of HOIST FINANCE AB: Possible new euro-denominated notes; Credit Suisse, Danske Bank, Nordea Markets mandated to arrange investor meetings; announced in conjunction with launch of tender for SEK 1 billion three-month Stibor plus 375 bps senior floating-rate notes due 2016 and €100 million three-month Euribor plus 375 bps senior floating-rate notes due 2017, expires May 24; Sweden-based Hoist Finance is a debt restructuring partner to international banks and financial institutions; mandate announced in May 16 press release.

On The Horizon

ALBERTSONS COS. INC.: New senior notes and credit facility following the consummation of its initial public offering of common stock; to repay and terminate existing ABL facilities and the ABS/Safeway term loan; Boise, Idaho-based food and drug retailer (S-1/A filed with the Securities and Exchange Commission on Sept. 25).

AMSURG CORP.: $3.7 billion in new financing to be raised through a combination of senior secured credit facilities and senior notes, to fund the proposed merger with Team Health Holdings Inc. (Guggenheim Securities LLC and J.P. Morgan Securities LLC expressed confidence in their ability to finance the proposed acquisition via the debt markets); the combined company would assume the Team Health name, and would continue to operate out of Team Health’s headquarters in Knoxville, Tenn.; AmSurg is a Nashville, Tenn.-based acquirer, developer and operator of ambulatory surgery centers in partnership with physicians; Team Health is a provider of outsourced physician staffing solutions for hospitals.

AMC ENTERTAINMENT HOLDINGS INC.: $300 million of subordinated notes; also $325 million incremental senior secured term loan B due Dec. 15, 2022; to help fund acquisition of Carmike Cinemas Inc.; term loan B commitment allows for increase to $560 million in order to backstop the change-of-control put option in the existing Carmike notes; notes backed by a commitment for a $300 million one-year subordinated bridge loan priced at Libor plus 550 bps with a 1% Libor floor, spread increases 50 bps every three months until it hits a cap; Citigroup Global Markets Inc.; closing expected in fourth quarter; Leawood, Kan.-based movie exhibitor.

CORUS ENTERTAINMENT INC. C$300 million seven-year senior notes (/B+/DBRS: B high); RBC Capital Markets, TD Securities; non-callable for three years; to fund proposed C$2.65 billion acquisition of Calgary, Alta.-based television broadcaster Shaw Media Inc., expected to close in the third quarter of 2016; financing also includes C$2.3 billion committed credit facilities from RBC Capital Markets; Corus Entertainment is a media and entertainment company based in Calgary; early guidance 8% area; roadshow was expected to start Feb. 16.

DYNEGY INC. and ENERGY CAPITAL PARTNERS: $1.85 billion secured debt facility, a portion of which can be moved into bonds; to help fund the acquisition of ENGIE’s U.S. fossil portfolio; indicative pricing on the term loan is Libor plus 525 bps with the ability to flex up by about another 275 bps, at 98 indicative OID; other funds for the acquisition will come from a $400 million junior bridge provided by Energy Capital and $1.19 billion in equity from Dynegy and Energy Capital (bridge priced at 11% with a PIK option); Dynegy is a Houston-based energy company.

ENTRANS INTERNATIONAL, LLC and ENTRANS INTERNATIONAL FINANCE CORP.: $250 million senior secured notes due 2020 (B2/B); Credit Suisse Securities (USA) LLC (sole); Rule 144A and Regulation S for life; callable after three years at par plus 50% of the coupon; three-year 40% equity clawback; 101% poison put; to refinance debt; Cleveland, Tenn.-based manufacturer of tanker trailers and industrial equipment.

MTS SYSTEMS CORP.: $250 million senior unsecured bridge loan to be taken out with $250 million senior notes; J.P. Morgan Securities LLC (left lead), Wells Fargo Securities LLC (joint lead), U.S. Bank, HSBC Bank (co-documentation agents); to fund the $580 million acquisition of PCB Group Inc., expected to close before Oct. 1; MTS is an Eden Prairie, Minn.-based supplier of high-performance test systems and position sensors; PCB is a Depew, N.Y.-based designer, manufacturer and distributor of sensor technologies.

PRIME HEALTHCARE SERVICES, INC.: $700 million senior notes due 2023 (B3/B+); Wells Fargo Securities LLC (left books), Barclays (joint books), BBVA, Capital One, CIT Group (co's); Rule 144A and Regulation S for life; callable after three years at par plus 75% of coupon; to fund acquisition pipeline, refinance credit facility, fund a special dividend; Ontario, Calif.-based owner and operator of acute care hospitals; investor call July 21; price talk 7½% area.

SOLARWINDS: $580 million senior secured second-lien notes and $1.63 billion credit facility; Goldman Sachs Lending Partners LLC, Credit Suisse Securities (USA) LLC, Macquarie Capital (USA) Inc., Nomura Securities International Inc. and Broad Street Credit Holdings LLC provided the debt commitment; to help fund buyout by Silver Lake Partners and Thoma Bravo LLC, expected to close in the first quarter of 2016; Austin, Texas-based provider of IT management software.

STERIGENICS-NORDION HOLDINGS LLC: $120 million senior secured notes (B1/B); to help fund the acquisition of Nelson Laboratories Inc. and for general corporate purposes; Oak Brook, Ill.-based provider of sterilization services; expected April business.

SUNOPTA FOODS INC.: $300 million senior secured second-lien notes due 2023; Rule 144A and Regulation S; proceeds, together with borrowings under its senior secured asset-based revolving credit facility, to repay in full the term loans outstanding under the second-lien loan agreement, dated Oct. 9, 2015, borrowed in connection with the acquisition of Sunrise Holdings (Delaware), Inc., the direct parent company of Sunrise Growers, Inc.; Toronto-based company focused on organic, non-genetically modified ("non-GMO") and specialty foods; syndicate names and timing pending (last October the company postponed $330 million seven-year secured second-lien notes, via BMO, Jefferies and Rabobank, due to market conditions, talked at a discount to yield 10%).

WESTERN REFINING INC.: $380 million of bank or capital markets debt to help fund its acquisition of all of the outstanding common units of Northern Tier Energy LP that it does not already own, expected to close during the first half of 2016; Goldman Sachs acted as financial adviser to Western Refining; Western Refining is an El Paso, Texas-based independent refining and marketing company; Northern Tier is a Tempe, Ariz.-based independent downstream energy company.

YUM! BRANDS INC.: New high-yield notes and bank loans as part of a plan to optimize its capital structure; proceeds to refinance the company’s roughly $2 billion unsecured term loan bridge facility and for general corporate purposes; Louisville, Ky.-based quick-service restaurant operator; expected to close in the second quarter.

Roadshows

Started May 16: PENNYMAC FINANCIAL SERVICES $300 million; JPMorgan, Barclays, BofA Merrill Lynch, Credit Suisse, Goldman Sachs.

Pricing expected May 19: VEREIT $500 million; JPMorgan, Barclays, Citigroup, Capital One, Goldman Sachs, Morgan Stanley.

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