Dean Foods recent trading at a premium in the secondary leads to repricing of term loan B

By Sara Rosenberg

New York, April 15 - Dean Foods Co. took the spotlight in secondary trading on Monday as the company took advantage of favorable market conditions by repricing its term loan B tranche to Libor plus 250 basis points from Libor plus 300 basis points, according to a financial professional. The company's paper has recently been trading at almost 102.

All holders had to agree to the change in price in order for the company to amend its current agreement.

"I expect more announcements like this in the future because so many loans are trading at a premium," the financial professional said. "Supply of new loans and refinancings are fairly slow and demand is high. This is causing paper to trade at a premium. It's supply/demand dynamics at work."

In other secondary news, Exide Technologies Inc., a Princeton, N.J. industrial and transportation battery producer and recycler, traded in the high 60s on Monday, up from a previous trading level around 62, after news of the company's filing for Chapter 11 bankruptcy protection was released.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.