Electronic Funds Source lifts first-, second-lien term loan pricing

By Sara Rosenberg

New York, May 22 - Electronic Funds Source LLC (WP Mustang Holdings LLC) raised pricing on its $495 million seven-year first-lien covenant-light term loan (B) to Libor plus 450 basis points from talk of Libor plus 375 bps to 400 bps and on its $250 million eight-year second-lien covenant-light term loan (CCC+) to Libor plus 750 bps from talk of Libor plus 700 bps to 725 bps, according to a market source.

In addition, the 101 soft call protection on the first-lien term loan was extended to one year from six months.

Also, the original issue discount on the second-lien term loan was changed to 97 from 99 and the call protection was sweetened to 103 in year one, 102 in year two and 101 in year three from 102 in year one and 101 in year two, the source said.

Both term loans still have a 1% Libor floor, and the first-lien term loan still has an original issue discount of 99.

The company's $845 million credit facility also includes a $100 million revolver (B).

Goldman Sachs Bank USA and Credit Suisse Securities (USA) LLC are the lead banks on the deal, with Goldman the left lead on the first-lien and Credit Suisse left lead on the second-lien.

Proceeds will be used to help fund the buyout of the company by Warburg Pincus from an investor group including First Data Transportation Services Inc., CTP Holdings LLC and FJ Management Inc.

Closing is expected this quarter, subject to customary conditions and regulatory approvals.

Electronic Funds Source is a provider of payments solutions.

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