High Yield Calendar: $9.98 billion and £150 million deals being marketed

January 28 Week

STUDIO CITY CO. LTD./STUDIO CITY FINANCE LTD. $425 million five-year senior notes (S&P: B+); Deutsche Bank; Rule 144A and Regulation S; non-callable for two years; to help fund tender for 8½% senior notes due 2020; Macau-based gaming and entertainment company; roadshow Jan. 21 week; pricing early Jan. 28 week.

TRANSDIGM, INC. $3.7 billion high-yield notes: $2.7 billion seven-year senior secured notes (current rating Ba3/B+/BB), Rule 144A for life and Regulation S; $1 billion eight-year senior subordinated notes (current ratings B3/B-/B-), Rule 144A and Regulation S with registration rights; Morgan Stanley & Co. LLC, Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc., Barclays, RBC Capital Markets LLC, Credit Agricole CIB, KCM, J.P. Morgan Securities LLC, PNC Capital Markets LLC (joint); both tranches non-callable for three years; to fund the acquisition of Esterline Technologies Corp.; TransDigm is a Cleveland-based producer of highly engineered aircraft components; Esterline is a Bellevue, Wash.-based manufacturer principally serving aerospace and defense markets; investor call Jan. 29, pricing expected Jan. 30.

GREIF INC.: $500 million senior notes due 2027; Wells Fargo Securities LLC (left books), Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, BofA Merrill Lynch (joint books), Citizens Capital Markets Inc., ING, MUFG, Rabo, TD Securities (USA) LLC, U.S. Bancorp Investments Inc. (co's); Rule 144A and Regulation S for life; callable after three years at par plus 50% of coupon; to fund acquisition of Caraustar Industries Inc. from H.I.G. Capital, redeem Greif's existing senior notes due 2019 and repay existing senior secured credit facilities; Greif is a Delaware, Ohio-based producer of industrial packaging products and services; Caraustar is an Austell, Ga.-based producer of uncoated recycled paperboard and coated recycled paperboard; roadshow Jan. 28-30; pricing expected Jan. 30.

STAR MERGER SUB, INC. to be merged with an into DUN & BRADSTREET CORP.) $1.35 billion notes: $500 million 7.5-year senior secured notes (expected ratings B2/B/BB); BofA Merrill Lynch, lead, initial price talk mid 7% area; Also $850 million eight-year senior unsecured notes (expected ratings Caa2/CCC/B-) Citigroup Global Markets Inc., lead, initial price talk 10¼% to 10½% area; both tranches Rule 144A for life and Regulation S, callable after three years at par plus 50% of respective coupons, three-year 40% equity clawbacks at par plus respective coupons, 101% poison puts; RBC Capital Markets LLC, Credit Suisse Securities LLC, MUFG, Mizuho Securities USA Inc. (joint books for both tranches), Natixis, HSBC Securities, Jefferies LLC, Macquarie, Wells Fargo Securities LLC, Citizens Capital Markets Inc., Houlihan Lokey, SMBC Nikko Securities America Inc. (co-managers for both tranches); to finance the acquisition of Dun & Bradstreet by an investor group led by CC Capital, Bilcar LLC, Cannae Holdings and Thomas H. Lee Partners; Short Hills, N.J.-based provider of commercial data and analytics; roadshow Jan. 25-31; pricing expected Feb. 1.

COLFAX CORP. via CFX ESCROW CORP. $1 billion two-part senior notes (Ba2/BB+): Five-year notes with two years of call protection, initial price talk 6½% area, and seven-year notes with three years of call protection, initial price talk 7% area; J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC, Barclays, BNP Paribas Securities Corp., Citigroup Global Markets Inc., Citizens Capital Markets Inc., Goldman Sachs & Co. LLC, HSBC Securities (joint); Rule 144A and Regulation S for life; to help finance acquisition of DJO Global, Inc.; Annapolis Junction, Md.-based technology company that provides fabrication technology and air and gas handling products and services, principally under the ESAB and Howden brands; roadshow started Jan. 28; pricing Jan. 31.

STONEGATE PUB CO. FINANCING PLC: £150 million senior secured floating-rate notes due March 15, 2022 (expected ratings B2/B-); Barclays (sole); Rule 144A and Regulation S; 101% poison put; to repay senior secured credit facility, finance completion of the second Novus acquisition, fund certain capital expenditures in relation to recent acquisitions, and cash on balance sheet; Luton, England-based privately owned managed pub company; roadshow Jan. 28-30.

February 4 Week

COMMSCOPE INC. via COMMSCOPE FINANCE LLC $3 billion three-part high-yield notes: $1 billion five-year senior secured notes, non-callable for two years, J.P. Morgan Securities LLC left books, initial price talk 6% area, $1 billion seven-year senior secured notes, non-callable for three years, JPMorgan left books, initial price talk 6½% area, $1 billion eight-year senior unsecured notes, non-callable for three years, BofA Merrill Lynch left books, initial price talk high 8% area; JPMorgan, BofA Merrill Lynch, Deutsche Bank Securities Inc., Mizuho Securities USA Inc., BNP Paribas Securities Corp., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC (joint books); Rule 144A and Regulation S for life; to help fund its acquisition of Arris International plc; CommScope is a Hickory, N.C.-based provider of infrastructure services for communication networks; Arris is a Suwanee, Ga.-based telecommunications company; roadshow started Jan. 28; investor call Jan. 29; pricing Feb. 7.

High Yield Bridges

FOREST CITY REALTY TRUST INC.: $2.6 billion bridge loan and $1.6 billion credit facilities; BofA Merrill Lynch, Barclays, BMO, Citigroup, Deutsche Bank, RBC and TD are the leads on the financing; to help fund its acquisition by Brookfield Asset Management Inc., expected to close in fourth quarter of 2018; Forest City is a Cleveland-based real estate company; financing announced in July 31 8-K.

PENN NATIONAL GAMING INC.: $840 million senior unsecured bridge loan, also $1.14 billion in incremental senior secured term loans; debt commitment from Bank of America Merrill Lynch, Goldman Sachs Bank USA, Fifth Third Bank, U.S. Bank, Wells Fargo Securities LLC, Citizens Bank, SunTrust Robinson Humphrey Inc. and TD Securities (USA) LLC; to finance the acquisition of Pinnacle Entertainment Inc., expected to close in the second half of 2018; Penn National is a Wyomissing, Pa.-based owner and manager of gaming and racing facilities and video gaming terminal operations; Pinnacle is a Las Vegas-based owner and operator of gaming entertainment properties.

T-MOBILE USA INC.: $27 billion bridge loans to be replaced with secured notes, unsecured notes or other financing in connection with merger of T-Mobile and Sprint Corp.: $19 billion 364-day senior secured covenant-light bridge facility (low triple B ratings expected) and $8 billion one-year senior unsecured covenant-light bridge facility ($4 billion expected to convert into eight-year debt, and $4 billion expected to convert to 10-year debt) (mid-to-high double B ratings expected), also $11 billion credit facilities; Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc. and RBC Capital Markets, joint lead arrangers and bookrunners on the debt (Goldman Sachs agent on the secured bridge, agent for unsecured bridge not named in the commitment letter); to refinance certain T-Mobile and Sprint debt, and for post-closing working capital for combined company; combined company will be called T-Mobile and will be based in Bellevue, Wash.; announced in April 30 8-K filing with Securities & Exchange Commission.

On The Horizon

CALPINE CORP.: $1.4 billion bonds and $600 million bank loan; to fund capital expenditures related to the Geysers geothermal renewable energy project in northern California; San Jose, Calif.-based power generator; heard Dec. 11, 2018 from market sources.

DIAMONDBACK ENERGY INC.: Expected high-yield notes; to help fund $9.2 billion acquisition of Energen Corp., expected to close in fourth quarter 2018; Citigroup Global Markets Inc. is financial adviser to Diamondback, J.P. Morgan Securities LLC and Tudor Pickering Holt are exclusive financial advisers to Energen.

GENERAL ELECTRIC DISTRIBUTED POWER: $600 million high-yield bonds; to help fund the acquisition of General Electric’s Distributed Power business for $3.25 billion by private equity investor Advent International, expected to close in fourth quarter of 2018; provider of gas engines, power equipment and services focused on power generation and gas compression; debt capital markets transactions expected in third quarter of 2018.

GETTY IMAGES INC.: Possible new notes, loans and preferred equity; to refinance its balance sheet in connection with its acquisition by the Getty family from the Carlyle Group; visual communications company.

NEXSTAR MEDIA GROUP INC. New bonds and loan to fund the cash consideration of its acquisition of Tribune Media Co., expected to close in the third quarter of 2019; BofA Merrill Lynch, Credit Suisse and Deutsche Bank committed to $6.4 billion financing; Nexstar is an Irving, Texas-based diversified media company; Tribune is a Chicago-based owner of television and digital properties; disclosed in Dec. 3 8-K.

STARWOOD PROPERTY TRUST, INC.: $300 million senior notes due August 2023 (Ba3/BB); Credit Suisse Securities (USA) LLC (left books), Citigroup Global Markets Inc. (joint books); Rule 144A and Regulation S with registration rights; par call 90 days prior to maturity, otherwise non-callable; three-year 40% equity clawback; 101% poison put; to repay secured debt and support purchase of GE Energy Project Finance debt business; commercial mortgage REIT; investor call Aug 14; initial guidance 5% to 5 1/8%.

TWINSET SPA: €170 million five-year senior secured floating-rate notes; private; to redeem the €150 million senior Euribor plus 587.5 bps secured floating-rate notes due 2019, partially repay a shareholder loan and cancel the existing hedging arrangement; Capri, Italy-based supplier of luxury women's apparel and accessories.

Nordic Deals

HAVILAFJORD AS: NOK 750 million add-on to Nibor plus 500 bps floating-rate notes due June 19, 2023; Fearnley Securities AS, SpareBank 1 Markets AS; Fosnavaag, Norway-based marine transport services provider; announced in Jan. 10 press release.

Roadshows

Jan. 21 week: STUDIO CITY CO. LTD.; $425 million; Deutsche Bank.

Jan. 28-30: GREIF $500 million; Wells Fargo.

Jan. 25-31: DUN & BRADSTREET CORP. $1.35 billion; BofA Merrill Lynch, Citigroup.

Jan. 28-30: STONEGATE £150 million; Barclays.

Started Jan. 28: COLFAX $1 billion; JPMorgan, Credit Suisse, Barclays, BNP, Citigroup, Citizens, Goldman Sachs, HSBC.

Started Jan. 28: COMMSCOPE $3 billion; JPMorgan, BofA Merrill Lynch.

© 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.