Penn National Gaming, NANA Development, AdvoServ talk deals; BCBG Max allocates; LCDX widens

By Paul A. Harris

Portland, Ore., June 8 - The LCDX 16 bank loan index widened by 8 basis points, trading at 294 bid, 287 offered at Wednesday's close.

On a price basis, the LCDX was off by 5/16 on the day, closing at 98 5/16 bid, 98 9/16 offered.

Trading in cash loans was active and negative, a market source said.

Penn Gaming talks $750 million

In the primary market on Wednesday, Penn National Gaming Inc. talked its $750 million seven-year term loan B with a 275 bps spread to Libor and a 1% Libor floor.

The deal is expected to price at 99.75.

The company launched $1.4 billion of pro rata bank debt on May 25, and it is being talked at Libor plus 175 bps.

The pro rata debt is comprised of a $700 million five-year revolver and a $700 million five-year term loan A.

Bank of America Merrill Lynch, Wells Fargo Securities LLC, Commerz Markets LLC, RBS Securities Inc. and UBS Securities LLC are the lead banks on the deal, with Bank of America the left lead on the B loan and Wells Fargo the left lead on the pro rata debt.

Proceeds will be used to refinance existing debt.

NANA talks term loan B

Elsewhere, NANA Development Corp. talked its $435 million six-year term loan B (B2/B+) with a 500 to 550 bps spread over Libor.

Dealers propose to place the loan with a one-point original issue discount, at 99.

The deal features a 1.5% Libor floor and a 101 soft call in year one.

Commitments are due on June 20.

Goldman Sachs & Co. is leading the term loan.

In addition, the company is getting an $85 million five-year ABL revolving credit facility that is being held by Bank of America Merrill Lynch, sources said.

Proceeds will be used to refinance the company's existing credit facility and to fund the acquisition of Grand Isle Shipyard Inc., a Galliano, La.-based service provider for the oil and gas industry.

The acquisition is expected to be completed by the end of this month.

AdvoServ talks six-year deal

AdvoServ talked its proposed $125 million six-year term loan with a 475 to 500 bps spread over Libor on Wednesday, markets sources said.

The reoffer price talk is 99.

The deal features a 1.25% Libor floor.

The $135 million credit facility also features a $10 million five-year revolver.

GE Capital is the lead arranger.

Proceeds will be used to refinance debt and to fund a sponsor dividend.

BCBG Max allocates

BCBG Max Azria Group's $230 million four-year Libor plus 950 bps term loan (B2/B-) priced at 95.

That discount had deepened from earlier talk of 96.

The 950 bps Libor spread represented an increase of 75 bps from earlier spread talk of 875 bps.

The deal comes without a Libor floor and features soft calls of 102 in year one and 101 in year two.

Goldman Sachs, Bank of America Merrill Lynch, UBS Securities and Guggenheim were the managers.

Proceeds will be used to refinance existing debt.

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