High Yield Calendar: $1.48 billion deals being marketed

June 17 Week

MICHAELS STORES, INC.: $500 million eight-year senior notes (B1/B); BofA, Barclays, Goldman Sachs, JPMorgan, Morgan Stanley, Wells Fargo (joint), BB&T, SunTrust, UBS (co's); Rule 144A for life; callable after three years at par plus 50% of coupon; three-year 40% equity clawback at par plus coupon; 101% poison put; proceeds, together with cash on hand, to redeem 5 7/8% senior subordinated notes due 2020; Irving, Tex.-based craft store chain; roadshow through June 19; initial price talk low 7% area.

ALPHA AUTO GROUP: $225 million five-year notes; JPMorgan; non-callable for two years; automotive group operates dealerships representing 14 automotive brands throughout Ontario, Alberta and Oregon; pricing June 17 week; initial price talk 8% to 8¼%.

June 24 Week

HEXION INC.: $450 million eight-year senior notes (Ba3/B-); Credit Suisse (left books), JPMorgan, Goldman Sachs, Citigroup, Barclays, Deutsche Bank, Blackstone (joint books); Rule 144A and Regulation S; non-callable for three years; three-year 40% equity clawback; 101% poison put; to repay existing DIP credit facilities and the other distributions provided for under plan of reorganization and to pay certain fees and expenses relating to the company's emergence from bankruptcy; Columbus, Ohio-based specialty chemicals company; roadshow through June 24, pricing thereafter; initial price talk 8% to 8¼%.

SIRIUS COMPUTER SOLUTIONS, INC. and SCS HOLDINGS I INC. (parent issuer), prior to acquisition CD&R GRANITE MERGER SUB 2, INC.: $300 million eight-year senior notes (Caa1/CCC+); Citigroup (left books), Credit Suisse, UBS, Barclays, Deutsche Bank, Goldman Sachs, ING, Macquarie, MUFG, Natixis, Nomura, RBC, SunTrust (joint books); Rule 144A and Regulation S for life; callable after three years at par plus 50% of coupon; three-year 40% equity clawback at par plus coupon; 101% poison put; to fund Clayton, Dubilier & Rice's buyout of the company from Kelso & Co.; San Antonio-based provider of mission-critical IT infrastructure solutions; roadshow June 19-25.

Expected June Business

QMAX FINANCIAL HOLDINGS INC. (Q'MAX SOLUTIONS INC.) $225 million secured notes due 2024 (Caa2/B-); Pareto; Rule 144A and Regulation S; callable after two years at par plus 50% of coupon; two-year 35% equity clawback at par plus coupon; to help fund the upcoming acquisition of Mountain Mud, repay debt and buy out certain existing equipment leases; Houston-based multi-national oilfield services provider; roadshow mid-to-late May.

ATLANTICA TENDER DRILLING LTD.: $140 million four-year second-lien notes; DNB, Pareto (global coordinators), Danske, SpareBank1 (joint books); also $100 million four-year first-lien term loan; to refinance bank and bond debt; Houston-based oil and gas drilling services provider; deal subject to market conditions, pre-marketing mid-to-late May.

OBSIDIAN ENERGY LTD.: $100 million five-year senior notes; Pareto; to refinance Obsidian Energy’s existing $48 million secured notes maturing between 2020 to 2025 and for general corporate purposes; Calgary, Alta.-based oil and natural gas production company; roadshow mid-to-late May.

DDM HOLDING AG via DDM DEBT AB: €100 million three-year secured floating-rate notes; Arctic Securities AS and ABG Sundal Collier ASA (joint lead managers); Stockholm-based investment services provider; investor meetings started March 20; guidance three-month Euribor plus 850 bps to 950 bps.

High Yield Bridges

CENTENE CORP.: $8.35 billion senior unsecured bridge loan; Barclays; to help fund acquisition of WellCare Health Plans Inc., expected to close in first half of 2020; Centene is a St. Louis-based provider of services to government sponsored and commercial health care programs; WellCare is a Tampa, Fla.-based provider of government-sponsored managed care services; information disclosed in March 27 8-K filed with SEC.

DIAMOND SPORTS GROUP LLC a newly formed, wholly owned subsidiary of SINCLAIR BROADCAST GROUP INC: $2.55 billion senior secured notes and $2,325,000,000 senior unsecured notes backed by bridge loans, also $3.6 billion credit facilities to help fund the acquisition of 21 Regional Sports Networks and Fox College Sports from the Walt Disney Co.; JPMorgan, Deutsche Bank, RBC and BofA provided debt commitment; Hunt Valley, Md.-based television broadcasting company; from information in an 8-K filed with the Securities and Exchange Commission on May 6.

HARSCO CORP.: $500 million senior notes backed by senior unsecured bridge via Goldman Sachs and Citigroup; to help fund its acquisition of Clean Earth Inc. from Compass Group Diversified Holdings LLC; Harsco is a Camp Hill, Pa.-based diversified industrial company; Clean Earth is a Hatboro, Pa.-based specialty waste processing company; disclosed in 8-K filed with SEC on May 13.

INMARSAT: Up to $1,125,000,000 senior notes backed by bridge loan (Libor plus 425 bps, 0% Libor floor, spread increases 50 bps every three months up to specified cap, BofA administrative agent) and $3.3 billion credit facilities (Barclays administrative agent); Barclays, BofA, UBS are global coordinators on the debt; to help fund the acquisition of Inmarsat by Apax, Warburg Pincus, Canada Pension Plan Investment Board and Ontario Teachers’ Pension Plan Board for about $3.4 billion, expected to close in fourth quarter of 2019; London-based satellite telecommunications company; details in March 25 press release.

NESCO HOLDINGS INC.: $400 million senior notes backed by $400 million second-lien increasing rate bridge loan; also $350 million senior secured asset-based revolver; JPMorgan Chase Bank, Fifth Third Bank, Morgan Stanley Senior Funding Inc., Deutsche Bank Securities Inc., Citigroup Global Markets Inc. provided debt commitment; to repay Nesco debt in connection with the acquisition of Nesco by Capitol Investment Corp. IV, expected to close in second quarter of 2019; specialty rental equipment to the electric utility, telecom and rail end-markets.

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 is financial adviser to Diamondback, JPMorgan and Tudor Pickering Holt are exclusive financial advisers to Energen.

E.W. SCRIPPS: $1.85 billion term loans and unsecured debt; Morgan Stanley, Wells Fargo Securities LLC; to fund acquisition of eight TV stations in seven markets from the Nexstar Media Group Inc.-Tribune Media merger divestitures; Cincinnati-based broadcasting and digital media company.

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.

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.

Roadshows

Through June 24: HEXION $450 million; Credit Suisse.

June 19-25: SIRIUS COMPUTER $300 million; Citigroup.

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