Flexera reveals price talk on $260 million of incremental term loans

By Sara Rosenberg

New York, April 23 – Flexera Software LLC released price talk on its $260 million of incremental term loans in connection with its lender call on Tuesday, according to a market source.

The fungible $220 million incremental first-lien term loan due February 2025 is talked at Libor plus 350 basis points with a 0% Libor floor and an original issue discount of 99, and the fungible $40 million incremental second-lien term loan due February 2026 is talked at Libor plus 725 bps with a 0% Libor floor, in line with the existing second-lien loan pricing, and a discount of 98.75, the source said.

The first-lien term loan is getting 101 soft call protection for six months. Call protection on the incremental second-lien term loan will match the existing second-lien call protection.

Jefferies LLC is the bookrunner on the deal.

Proceeds will be used to fund a distribution to shareholders.

A corresponding amendment is being sought as well, for which lenders are offered a 15 bps consent fee.

Amendment consents are due at 3 p.m. ET on Monday, and commitments are due at 3 p.m. ET on April 30, the source added.

With this transaction, pricing on the company’s existing first-lien term loan is being lifted to Libor plus 350 bps from Libor plus 325 bps.

Flexera is an Itasca, Ill.-based provider of software and services that enable software publishers and device makers to install, enforce and deploy software licenses.

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