Intelsat, Big West, FilmYard, Advantage Sales, Remy, Language Line break; Citadel slides

By Sara Rosenberg

New York, Dec. 17 - Intelsat Jackson Holdings SA, Big West Oil LLC, FilmYard Holdings LLC, Advantage Sales & Marketing LLC and Remy International Inc. all saw their credit facilities free for trading during Friday's market hours, and Language Line Services' second-lien loan broke as well.

In more trading happenings, Citadel Broadcasting Corp.'s term loan was a little lower after news emerged that Cumulus Media Inc. has made an offer to purchase the company.

In the primary market, MDA Info Products flexed the spread higher on its term loan and finalized the original issue discount at the high end of talk, and Electrical Components International revealed plans to come to market with a new deal early next year.

Intelsat starts trading

Intelsat Jackson's credit facility made its way into the secondary market in the morning, with the $3.25 billion term loan quoted by traders at par 1/8 bid, par 3/8 offered on the open and then at par 3/8 bid, par ½ offered by late morning.

By the afternoon, traders were seeing the debt all the way up at par ¾ bid, 101 offered.

Pricing on the term loan is Libor plus 375 basis points with a 1.5% Libor floor, and it was sold at a discount of 991/2. There is 101 soft call protection for one year.

Bank of America, Credit Suisse and JPMorgan are the lead banks on the $3.75 billion credit facility (B1), which also includes a $500 million revolver.

Intelsat refinancing debt

Proceeds from Intelsat's credit facility will be used to refinance existing debt and for general corporate purposes.

During syndication, the term loan was upsized first from $2.35 billion as plans for a $500 million bond offering were eliminated and then from $2.85 billion so that the company could have incremental liquidity.

Also, pricing firmed at the low end of the Libor plus 375 bps to 400 bps talk and the original issue discount tightened from 99.

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

Big West frees up

Big West Oil's $285 million term loan also broke for trading on Friday, with levels quoted at par ¾ bid on the open, with no offers, and then it moved to par 7/8 bid, 101 3/8 offered, according to a trader.

Pricing on the loan firmed in line with talk at Libor plus 550 bps with a 1.5% Libor floor, and it was sold at an original issue discount of 991/2. There is 101 soft call protection for one year.

Bank of America is the lead bank on the deal that will be used to refinance the company's exit term loan.

Big West Oil, a wholly owned subsidiary of Flying J Inc., is a Salt Lake City-based complex high conversion refinery.

FilmYard bid atop OID

FilmYard's bank debt emerged in the secondary as well, with the $325 million 51/2-year first-lien term loan (Ba2/BB-) quoted at 99¾ bid, according to a market source. A second source said that he saw it bid at 98¾ on the break, and then it moved up to 991/2.

Meanwhile, the New York-based company's $83 million six-year second-lien term loan (B2/CCC+) was quoted at 98½ bid, the first source remarked. The second source saw this paper bid at 98¼ on the open and then move to 981/2.

Pricing on the first-lien term loan is Libor plus 600 bps with a 1.75% Libor floor, and it was sold at a discount of 98. There is 101 soft call protection for one year.

The second-lien term loan is priced at Libor plus 1,100 bps, after flexing up from Libor plus 1,000 bps during syndication. The tranche has a 2% Libor floor and was sold at a discount of 98. It is non-callable for one year, then at 104 in year two, 102 in year three and 101 in year four.

FilmYard lead banks

Barclays and Jefferies are the lead banks on FilmYard's $408 million of first- and second-lien term loans.

Proceeds will be used to help fund the acquisition of Miramax Films by Thomas J. Barrack Jr., Colony Capital LLC, Ronald Tutor and Qatar Holding LLC from Walt Disney Co.

The sale of Miramax Films includes rights in more than 700 film titles. Also included are non-film assets, such as certain books, development projects and the Miramax name.

The actual acquisition closed on Dec. 3 and is valued at $663 million subject to certain adjustments.

Advantage Sales breaks

Another deal to begin trading was Advantage Sales & Marketing's credit facility, with the $875 million first-lien term loan (B+) quoted at par bid, par ½ offered on the open and then moving to par ½ bid, 101 offered, according to a trader.

And, the $350 million second-lien term loan (B-) was quoted at par bid, no offers on the break, the trader said, who then saw it rise to par ¼ bid.

Pricing on the first-lien term loan is Libor plus 375 bps with a step-down to Libor plus 350 bps when first-lien leverage is less than 3.5 times. There is a 1.5% Libor floor and 101 soft call protection for one year, and the tranche was sold at a discount of 991/2.

Meanwhile, the second-lien term loan is priced at Libor plus 775 bps with a 1.5% Libor floor, and it was sold at 981/2. There is call protection of 102 in year one and 101 in year two.

Advantage Sales eyes revolver

Advantage Sales & Marketing's $1.325 billion credit facility, which is being led by Credit Suisse, JPMorgan and UBS, also includes a $100 million revolver (B+).

During syndication, the first-lien term loan was upsized from $800 million, pricing was lowered from talk of Libor plus 400 bps to 425 bps, the step-down and the call protection were added, and the discount tightened from 99.

Also, the second-lien term loan was downsized from $425 million, pricing was reduced from Libor plus 800 bps, and the call protection was changed from 103 in year one, 102 in year two and 101 in year three.

As a result of the changes to tranche sizes, first-lien leverage at close for the Irvine, Calif.-based sales and marketing agency will be 4.5 times, up from 4.1 times under the original structure.

Proceeds will be used to help fund the buyout of the company by Apax Partners from J.W. Childs Associates LP and BAML Capital Partners, with closing targeted by year-end.

Remy levels emerge

Remy International's $300 million term loan B (B1/B+) broke for trading too, with levels quoted at 99¾ bid on the open, according to a trader. Shortly after, a second trader was seeing it at par bid, par ½ offered.

Pricing on the term loan B is Libor plus 450 bps, after flexing from Libor plus 475 bps during syndication, with a 1.75% Libor floor, and it was sold at a discount of 99. There is 101 soft call protection for one year.

The company's $395 million credit facility also includes a $95 million ABL revolver.

Bank of America, UBS, Wells Fargo and Barclays are the lead banks on the deal that will be used to refinance existing debt.

Remy is a Pendleton, Ind.-based provider of alternators, starters and hybrid motors for the heavy-duty and light-duty original equipment markets and remanufactured alternators and starters to the aftermarket.

Language Line second-lien trades

Language Line's $175 million second-lien term loan (B3/B-) broke at par bid on Friday and then moved up to 101 bid, 103 offered, according to a trader.

Pricing on the loan is Libor plus 875 bps with a 1.75% Libor floor, and it was sold at an original issue discount of 981/2. There is call protection of 103 in year one, 102 in year two and 101 in year three.

During syndication, pricing was reduced from Libor plus 900 bps and the discount tightened from 98.

The company's $750 million credit facility also includes a $50 million revolver (Ba3/B+) and a $525 million first-lien term loan (Ba3/B+) that freed for trading on Thursday and was being quoted at par ¾ bid, 101 1/8 offered on Friday.

Language Line details

Pricing on Language Line's first-lien term loan is Libor plus 450 bps with a step-down to Libor plus 425 bps at less than 4.5 times leverage that was added during syndication. There is a 1.75% Libor floor and soft call protection of 102 in year one and 101 in year two, and the tranche was sold at a discount of 99.

Proceeds from the credit facility will be used to refinance existing debt, to redeem preferred stock and to fund a dividend.

Bank of America, Credit Suisse and Morgan Stanley are the lead banks on the deal, with Bank of America the left lead on the first-lien debt and Credit Suisse the left lead on the second lien.

Language Line is a Monterey, Calif.-based provider of telephone interpreting and language services.

Citadel softens

Also on the trading front, Citadel's new term loan weakened to par ¼ bid, par ½ offered from par ½ bid, par 5/8 offered after Cumulus Media announced that it is offering to purchase the company for a price of $31.00 per share, according to traders.

The proposed transaction values Citadel as an enterprise at about $2.1 billion. The merger would allow Citadel shareholders to elect to receive cash or Cumulus stock, with a total of up to $1 billion of cash to be paid.

This proposal was rejected by Citadel's board of directors earlier this month; however, Cumulus has delivered a new letter to Citadel reiterating its offer.

Citadel is a Las Vegas-based radio company. Cumulus Media is an Atlanta-based radio broadcaster.

MDA Info revises pricing

Moving to the primary market, MDA Info Products came out with changes to its $350 million term loan, including raising pricing and firming the original issue discount price, according to a market source.

The term loan is now priced at Libor plus 550 bps, up from talk of Libor plus 450 bps to 475 bps, with a 1.5% Libor floor that was left unchanged, and a discount price of 981/2, the wide end of the 98½ to 99 guidance, the source said.

Included in the term loan is 101 soft call protection for one year.

The company's $400 million credit facility (Ba3/B+) also provides for a $50 million revolver.

MDA Info readies allocations

Now that the pricing modifications have been made to MDA Info Products, allocations on the deal are expected to go out early in the week of Dec. 20, the source remarked.

Bank of America, RBC and BMO are the lead banks on the credit facility.

Proceeds will be used to help fund TPG Capital's acquisition of MacDonald, Dettwiler and Associates Ltd.'s property information business for about $850 million.

The transaction is expected to close early next year, subject to the customary regulatory and other approvals.

MDA Info is a provider of property information to insurance companies, lenders and legal professionals.

Electrical Components launch

Electrical Components International has scheduled a bank meeting for Jan. 5 to launch a proposed $190 million credit facility that is being led by Credit Suisse, according to a market source.

The facility consists of a $30 million revolver and a $160 million term loan, the source said, adding that price talk is not yet available.

Proceeds will be used to refinance existing debt.

Electrical Components is a St. Louis-based provider of wire harnesses, subassemblies and assembly services.

Novelis closes

In other news, Novelis Inc. closed on its $2.3 billion credit facility comprised of an $800 million asset-based loan and a $1.5 billion senior secured six-year term loan B (Ba2/BB-), according to a news release.

Pricing on the term loan B is Libor plus 375 bps with a step-down to Libor plus 350 bps at less than 3.5 times leverage. There is a 1.5% Libor floor and 101 soft call protection for one year, and the debt was sold at an original issue discount of 99.

During syndication, pricing on the term loan B was reverse flexed from talk of Libor plus 400 bps to 425 bps, the step-down was added and the discount firmed at the low end of the 98½ to 99 guidance.

Bank of America, Citigroup, JPMorgan, RBS and UBS acted as the lead banks on the deal that was used to refinance existing bank debt and notes, and fund a $1.7 billion distribution to its parent company.

Novelis is an Atlanta-based aluminum-rolled products and beverage can recycling company.

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