Immucor breaks; Revel bounces with revolver upsizing news; ATP Oil & Gas discloses consent fee

By Sara Rosenberg

New York, Aug. 20 - Immucor Inc.'s repriced term loan freed up for trading on Monday, and Revel Entertainment Group LLC's term loan B moved around as news emerged that the company is looking to increase its revolver size so as to gain extra liquidity.

Over in the primary market, more details on ATP Oil & Gas Corp.'s proposed debtor-in-possession financial facility surfaced, including the consent fee being offered to existing lenders and the Libor floor on the transaction.

Immucor begins trading

Immucor's repriced $612 million term loan B (BB-) hit the secondary market on Monday, with levels quoted at par bid, 101 offered, according to a trader.

Through the transaction, the company lowered pricing on the loan to Libor plus 450 basis points with a 1.25% Libor floor from Libor plus 575 bps with a 1.5% Libor floor, and 101 soft call protection was extended for one year.

At first, the company was also looking to make the term loan covenant-light by removing the net secured leverage requirement, but during syndication, the decision was made to leave the covenant in place. And at that time, the sunset provision under the MFN was removed.

Citigroup Global Markets Inc., J.P. Morgan Securities LLC and UBS Securities LLC are leading the deal for the Norcross, Ga.-based provider of automated instrument-reagent systems to the blood transfusion industry.

Revel seesaws

In more trading news, Revel's term loan B bounced around as the company announced that it is in talks on an amendment to facilitate the upsizing of its revolver. And based on conversations with lenders, $70 million of new revolver commitments are expected, according to a trader.

With the news, the B loan was quoted at 74½ bid, 75½ offered, up from morning lows of 73½ bid, 74½ offered, but unchanged from Friday's levels of 74½ bid, 75½ offered, the trader remarked.

The revolver is currently sized at $50 million, but only $30 million of that amount is committed. The company is looking to increase the size and amount of commitments for the revolver to $100 million in order to cushion its liquidity.

Pricing on the revolver is expected at Libor plus 750 bps, the company said in a release.

Revel struggling

Revel's term loan B has seen a lot of movement since the release of disappointing revenue results for the month of July a little over a week ago. In fact, over the course of last week, the loan fell a little bit more every day, losing in total about 5 to 6 points from levels of 79 bid, 81 offered on Aug. 10 - the day that the revenue numbers came out.

Total revenue for July was $17.54 million, and at that point, year-to-date revenue was $60 million.

In addition, on Friday, Standard & Poor's lowered Revel's corporate credit rating to CCC from B- with a negative outlook and term loan to CCC from B due to revenues being below expectations.

The downgrades reflected the rating agency's belief that the company will be "challenged to service its current capital structure" based on performance expectations and will be unable to meet financial covenants in the credit agreement when they kick in during the June 2013 quarter.

Revel, a gaming and entertainment company in Atlantic City, N.J., commenced operations on March 28 and opened to the public on April 2.

ATP offers consent fee

Switching to the primary, ATP Oil & Gas is proposing to lenders a 200 bps consent fee for the aggregate principal amount of first-lien term loan debt rolled up into the maximum $367.6 million tranche under its debtor-in-possession financing facility, according to a market source.

The roll-up right is available only to lenders participating in the $250 million new money tranche that is being offered at an original issue discount of 98, the source said.

The entire $617.6 million 18-month DIP facility, led by Credit Suisse Securities (USA) LLC, is priced at Libor plus 850 bps with a 1.5% Libor floor.

There is no bank meeting being held to launch the transaction to investors, the source added.

Proceeds will be used by the Houston-based offshore oil and gas development and production company to fund ongoing operations while it works on its Chapter 11 reorganization process.

Mediacom closes

Mediacom Broadband LLC closed on its $200 million term loan G (Ba3/BB-) due January 2020 that is being used to repay revolver debt and for general corporate purposes, which may include the purchase of a portion of the outstanding 8½% senior notes due 2015, according to a news release.

Pricing on the loan is Libor plus 300 bps with a 1% Libor floor, and it was sold at an original issue discount of 97½ after firming at the wide side of the 97½ to 98 talk. There is 101 soft call protection for one year and existing lenders were offered a 5 bps consent fee that was added during syndication.

J.P. Morgan Securities LLC and Bank of America Merrill Lynch were the joint lead arrangers on the deal, and bookrunners with Wells Fargo Securities LLC, Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC, SunTrust Robinson Humphrey Inc. and RBC Capital Markets LLC.

Mediacom is a Middletown, N.Y.-based cable operator.

Live Nation wraps

Live Nation Entertainment Inc. completed its $100 million incremental term loan B (Ba2/BB-) on Monday, according to an 8-K filed with the Securities and Exchange Commission.

The add-on term B due November 2016 is priced at Libor plus 325 bps (subject to leverage-based step-downs) with a 1.5% Libor floor, the filing said, and it was sold at a discount of 991/2, after firming at the tight end of the 99 to 99½ talk.

J.P. Morgan Securities LLC led the deal that was used to redeem a portion of the 10¾% senior unsecured notes due 2016 issued by Ticketmaster.

Live Nation is a West Hollywood, Calif.-based provider of live music concerts and live entertainment ticketing sales and marketing services.

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