Invicuts $815 million launches Thursday, Marketo upsizes, Raycom launches repricing

By Paul A. Harris

Portland, Ore., Jan. 30 – In Tuesday's leverage loan market Invictus slated the launch of an $815 million credit facility for Thursday.

Marketo Inc. upsized its term loan B to $460 million from $430 million and finalized pricing.

And Raycom TV Broadcasting, LLC announced a repricing of its $598,500,000 of outstanding term loan B.

Invictus $815 million to launch Thursday

Invictus will launch an $815 million credit facility with a lender call at 10 a.m. ET on Thursday.

The facility includes a $100 million five-year revolver, a $545 million seven-year first-lien term loan and a $170 million eight-year second-lien term loan.

Barclays, Goldman Sachs and HSBC are arrangers. Barclays will be administrative agent on the first-lien debt, while Goldman is administrative agent on the second-lien piece.

Invictus will own the fire safety and oil additives divisions of Israel Chemicals Ltd.

Proceeds from the loan financing will be used to help fund the acquisition of Invictus by sponsor SK Capital.

Commitments are due at 12 p.m. ET on Feb. 15.

Marketo upsizes, finalizes spread at 325 bps

Marketo upsized its term loan B to $460 million from $430 million and finalized pricing on Tuesday.

The final spread is Libor plus 325 basis points, 50 bps below the 375 bps to 400 bps spread talk.

The price is unchanged at 99.50, as are the 0% Libor floor, the six-month soft call at 101 and the 1% annual amortization rate.

The deal, sized at $495 million with the increase in the term loan size, includes a $35 million five-year revolver talked at a 375 bps to 400 bps spread to Libor with a 0% Libor floor.

Commitments were due by Tuesday's close.

Morgan Stanley Senior Funding Inc., Citigroup Global Markets Inc., Golub Capital Markets LLC, Jefferies LLC, Macquarie Capital (USA) Inc., Bank of America Merrill Lynch and Nomura Securities are the leads on the deal.

Proceeds will be used to refinance existing senior secured credit facilities, to provide cash on balance sheet for general corporate purposes and to pay fees and expenses.

Raycom TV launches repricing

Raycom plans to launch a repricing of its $598.5 million of outstanding term loan B debt on a lender call set to get underway at 10 a.m. ET on Thursday.

Wells Fargo Securities LLC is the lead arranger.

The repricing cuts the spread to Libor plus 225 basis points from 275 bps. The Libor floor remains unchanged at 0%.

The repricing is offered at par, and includes 101 soft call protection for six months after closing.

Commitments are due at noon ET on Feb. 9.

Compuware cuts talk after surprise upgrade

Compuware Corp. lowered price talk on the repricing of its existing first-lien term loan and a $45 million incremental facility after an “unexpected” upgrade from Moody’s Investors Service.

The term loan B-3 is now talked at Libor plus 350 basis points to 375 bps, reduced 25 bps from the original talk of Libor plus 375 bps to 400 bps.

All other terms will remain the same.

The transaction, which was launched with a call on Thursday, will have a 1% Libor floor and be offered at par.

Soft call protection at 101 will be reset for six months.

With the changes, timing for consents was pushed back to 4 p.m. ET on Tuesday from 12 p.m. ET.

On Monday, Moody’s upgraded Compuware’s corporate family rating to B2 from B3 and upgraded its probability of default rating to B2-PD from B3-PD. The agency also upgraded the company’s first-lien credit facilities to B2 from B3 and upgraded its second-lien term loan to Caa1 from Caa2.

The outlook is stable.

Jefferies is the lead bank on the loan transaction.

Part of the proceeds from the incremental loan will be used to pay down existing second-lien debt.

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