TransDigm, Bresnan loans break; Renal Advantage upsizes term loan; Monday trading flat

By Paul A. Harris and Sara Rosenberg

New York, Dec. 6 - TransDigm Group Inc. and Bresnan Communications loans both priced on Monday, with TransDigm's $1.55 billion six-year term loan coming in at Libor plus 350 basis points and 991/2, while Bresnan's $765 million seven-year term loan B priced at Libor plus 300 bps with a discount of 99, according to an informed source.

Meanwhile, Renal Advantage upsized its term loan to $365 million from $350 million and saw talk tighten to Libor plus 425 basis points from Libor plus 450 bps.

The deal features a 1.5% Libor floor.

TransDigm's loan spread came on top of talk that had tightened from Libor plus 375 bps to 400 bps while the reoffer price came on top of discount talk, which had cheapened from earlier talk of 99.

And, Bresnan's term B spread also came on top of talk, tightening previously to Libor plus 300 bps from Libor plus 350 bps. The reoffer price came on top of discount talk that had come in from 981/2.

Trading was flat on Monday, according to a market source who spotted the LCDX 15 index at 98.875 bid.

Elsewhere, Sunquest Information Systems has narrowed down pricing on its first-lien term loan at the wide end of talk, and the deal has filled out at that price point ahead of this week's commitment deadline.

Also, Choice Cable and Intelsat Jackson Holdings SA were circulating price talk on their upcoming deals, and NexTag Inc. is getting ready to bring a new term loan B to market.

TransDigm details

TransDigm six-year term loan has a 1.5% Libor floor.

Credit Suisse, UBS, Barclays and Morgan Stanley were the lead banks on the $1.85 billion senior secured credit facility (Ba2/BB-), which also included a $300 million five-year revolver.

Proceeds from the credit facility, along with $1.55 billion of senior notes, will be used to fund the $1.27 billion acquisition of McKechnie Aerospace Holdings Inc. from JLL Partners, to repay an existing credit facility and to repurchase 7¾% senior subordinated notes due 2014.

TransDigm is a Cleveland-based designer, producer and supplier of highly engineered aircraft components. McKechnie is an Irvine, Calif.-based supplier of aerospace products.

Bresnan prices at 99

The Purchase, N.Y.-based broadband telecommunications company's loan comes with a 1.5% Libor floor, and the $840 million credit facility (Ba3/BB+) also includes a $75 million revolver.

Citigroup, Bank of America, Barclays, Credit Suisse and UBS were the lead banks on the deal.

Proceeds will be used to help fund the acquisition of the company by Cablevision Systems Corp. in a transaction valued at $1.365 billion.

Other funding for the transaction will come from an equity investment by Cablevision of less than $400 million and $250 million of senior unsecured notes.

The debt financing will be obtained by a newly formed unrestricted subsidiary of Cablevision so that it is non-recourse to Cablevision or its CSC subsidiary. Cablevision is a Bethpage, N.Y.-based telecommunications, media and entertainment company.

Closing on the acquisition is expected to occur by year-end.

Renal upsizes

Renal Advantage's upsized $415 million credit facility also includes a $50 million revolver.

Barclays and Bank of America are the lead banks on the deal.

Proceeds, along with $206 million of mezzanine debt, will be used to help fund the company's merger with Liberty Dialysis.

Closing on the merger is expected to occur by Dec. 31.

Leverage through the first-lien is 3.6 times and net leverage through the mezzanine is 5.6 times.

Brentwood, Tenn.-based Renal Advantage and Mercer Island, Wash.-based Liberty Dialysis are providers of dialysis services.

Data Device Corp. sets talk

Data Device Corp. talked its $310 million term loan with a 475 basis points to 500 bps spread to Libor on Monday, according to a market source.

The loan, which contains a 1.75% Libor floor, is being offered at 981/2.

Credit Suisse and GE Capital are the lead banks.

The $340 million facility also includes a $30 million revolver.

Proceeds will be used to refinance existing debt and fund a dividend.

Data Device is a Bohemia, N.Y.-based supplier of data networking services and MIL-STD-1553 interfaces.

Sunquest first-lien spread

Sunquest Information Systems' $385 million first-lien term loan (Ba3/B+) is seeing pricing firm up at Libor plus 450 bps, the high end of the initial Libor plus 425 bps to 450 bps talk, and the book is "well oversubscribed" at that level with commitments not due until Wednesday, according to a market source.

As before, the first-lien term loan includes a 1.75% Libor floor and 101 soft call protection for one year and is being offered at an original issue discount of 981/2.

The company's $655 million credit facility also provides for a $25 million revolver (Ba3/B+) and a $245 million second-lien term loan (Caa1/CCC+).

Price talk on the second-lien loan is Libor plus 850 bps with a 1.25% Libor floor and an original issue discount of 98, and it is non-callable for two years, then at 104 in year three.

Sunquest funding recap

Proceeds from Sunquest Information Systems' credit facility will be used to refinance existing debt, fund a dividend payment and purchase equity.

The deal is in connection with the purchase of a 51% interest in the company by a group of investors led by Huntsman Gay Global Capital, and including Credit Suisse and Neuberger Berman, from Vista Equity Partners.

Jefferies is the lead bank on the credit facility.

Sunquest Information Systems is a Tucson, Ariz.-based provider of health care diagnostic information technology and outreach services.

Choice Cable floats talk

Choice Cable is talking its $105 million credit facility at Libor plus 400 bps with no Libor floor ahead of the Wednesday bank meeting that will launch the deal into syndication, according to a market source.

The facility consists of a $10 million five-year revolver and a $95 million six-year term loan, the source said.

SunTrust is the lead bank on the deal that will be used to refinance existing debt and to pay a shareholder distribution.

Closing leverage will be around 3.75 times.

Choice Cable is a Ponce, Puerto-Rico-based cable operator.

Intelsat sets guidance

Intelsat Jackson is floating price talk of Libor plus 375 bps to 400 bps with a 1.5% Libor floor and an original issue discount of 99 on its $2.35 billion term loan ahead of the Tuesday bank meeting that will officially kick off syndication on the deal, according to a market source.

The company's $2.85 billion credit facility also includes a $500 million revolver.

Bank of America, Credit Suisse and JPMorgan are the lead banks on the deal that will be used to refinance existing debt.

Intelsat Jackson is a subsidiary of Intelsat SA, a Luxembourg-based provider of fixed satellite services.

NexTag coming to market

NexTag is set to hold a bank meeting on Tuesday to launch a proposed $200 million seven-year term loan B that will be used to fund a distribution to shareholders and for general corporate purposes, according to a market source.

Price talk on the loan is not yet available, the source said.

Deutsche Bank, JPMorgan and Morgan Stanley are the lead arrangers on the deal, with Deutsche the left lead, and Societe Generale and Bank of America are co-managers.

NexTag is a San Mateo, Calif.-based comparison shopping website for products and services.

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