Delek schedules Wednesday lender meeting for $650 million term loan

By Paul A. Harris

Portland, Ore., Feb. 26 – Delek US Holdings, Inc. plans to launch a $650 million seven-year term loan B with a bank meeting and lender call set to get underway at 11 a.m. ET on Wednesday, according to a market source.

Wells Fargo Securities LLC is the left lead arranger.

Included in the deal is six months of soft call protection at 101, and a 1% annual amortization rate.

The deal is secured by a perfected first-priority lien in substantially all fixed assets of the borrower and a second-priority lien on the ABL collateral.

There are no financial covenants, and the usual and customary negative covenants include limitations on liens, debt incurrence, asset sales, loans and investments, and restricted payments.

Proceeds will be used to refinance debt.

The borrower is a Permian-based integrated downstream energy company focused on petroleum refining, transportation, storage and wholesale distribution, intermediate and refined products and convenience store retailing. It has headquarters in Brentwood, Tenn.

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