US LBM to launch $50 million tack-on first-lien term loan on Tuesday

By Sara Rosenberg

New York, Nov. 16 – US LBM Holdings LLC is set to hold a lender call at 10 a.m. ET on Tuesday to launch a $50 million tack-on first-lien term loan due Aug. 20, 2022, according to a market source.

Credit Suisse Securities (USA) LLC is the lead bank on the deal.

Price talk on the add-on loan is Libor plus 525 basis points with a 1% Libor floor and an original issue discount of 96, the source said.

The spread and the floor on the add-on matches existing first-lien term loan pricing.

All of the first-lien term loan debt will get 101 soft call protection for one year.

Proceeds will be used to repay ABL borrowings related to acquisitions, the source added.

Commitments are due at 3 p.m. ET on Nov. 23.

US LBM is a Green Bay, Wis.-based owner of building material distribution businesses.

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