Gopher, Janus, Weld, Matrix, Berry, Jefferies, Syniverse, CSC, Chromaflo and more break

By Sara Rosenberg

New York, Feb. 9 – A number of deals made their way into the secondary market on Friday, including Gopher Resource LLC, Janus International Group LLC, Weld North Education LLC, Matrix Medical, Berry Global Group Inc. and Jefferies Finance LLC.

Also, Syniverse Holdings Inc. revised tranching on its credit facilities and updated terms, and CSC ServiceWorks (Spin HoldCo Inc.) finalized pricing on its term loan B at the low end of guidance, and Chromaflo Technologies set the spread on its term loan debt at the tight side of talk and sweetened the call protection, and then these deals broke for trading too.

Avis Budget Group Inc. set the original issue discount on its term loan B at the tight end of guidance, Virtus Investment Partners Inc. firmed pricing on its term loan B debt at the narrow end of talk, and Zotec Partners widened spread and original issue discount on its term loan and adjusted the call premium. These deals freed up during the session as well.

In more happenings, Access CIG LLC and Steinway Musical Instruments Inc. moved up the commitment deadlines on their loans.

Furthermore, TTM Technologies Inc. released price talk with launch, and American Traffic Solutions (ATS Consolidated Inc.), Oryx Southern Delaware Holdings LLC and EaglePicher Technologies LLC joined the near-term primary calendar.

Gopher starts trading

Gopher Resource’s credit facilities freed up for trading on Friday, with the $475 million seven-year covenant-light first-lien term loan quoted at par ¼ bid, 101 offered, according to a trader.

Pricing on the term loan is Libor plus 325 basis points with a 25 bps step-down at senior secured net leverage of less than 4.5 times and a 1% Libor floor. The debt was sold at an original issue discount of 99.75 and has 101 soft call protection for six months.

On Thursday, the term loan was upsized from $450 million, pricing was lowered from talk in the range of Libor plus 375 bps to 400 bps, the step-down was added and the original issue discount was changed from 99.5.

The company’s $515 million of credit facilities (B2/B) also include a $40 million revolver.

Credit Suisse Securities (USA) LLC, Barclays and BMO Capital Markets are leading the deal that will be used to fund the acquisition of the company by Energy Capital Partners.

Gopher is a recycler of lead-acid batteries.

Janus frees up

Janus International’s credit facilities started trading, with the $470 million seven-year first-lien term loan (B2) quoted at par bid, par ½ offered and the $100 million eight-year second-lien term loan (Caa1) quoted at 99 bid, par offered, a trader said.

Pricing on the first-lien term loan is Libor plus 300 bps with a 1% Libor floor and it was sold at an original issue discount of 99.5. The loan has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 775 bps with a 1% Libor floor and it was sold at a discount of 99. The tranche has hard call protection of 102 in year one and 101 in year two.

During syndication, the first-lien term loan was upsized from $440 million and pricing was lowered from Libor plus 350 bps, and the second-lien loan was downsized from $130 million.

The company’s $620 million of credit facilities also include a $50 million ABL revolver.

UBS Investment Bank, Jefferies LLC and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to help fund the buyout of the company by Clearlake Capital Group.

Janus is a Temple, Ga.-based manufacturer of roll up and swing doors, hallway systems and re-locatable storage units for the self-storage industry.

Weld North hits secondary

Weld North Education’s credit facility also broke, with the $300 million seven-year covenant-light term loan B seen at 99 3/8 bid, par 3/8 offered, a trader remarked.

Pricing on the term loan is Libor plus 425 bps with a 0% Libor floor and it was sold at an original issue discount of 99. The tranche has 101 soft call protection for six months.

On Thursday, the spread on the term loan was lifted from talk in the range of Libor plus 375 bps to 400 bps and the discount widened from 99.5.

The company’s $355 million of senior secured credit facilities (B2/B-) also include a $55 million revolver.

RBC Capital Markets and Macquarie Capital (USA) Inc. are leading the deal that will be used to help fund the acquisition by Silver Lake Partners of a majority stake in the company from KKR.

Weld North LLC’s other platform companies, Performance Matters and The Learning House, are not included in the Silver Lake transaction.

Weld North Education is a digital education technology company focused on developing digital curriculum and tools for preK-12th grade.

Matrix tops OID

Matrix Medical’s credit facilities began trading as well, with the $330 million seven-year first-lien term loan B quoted at par 5/8 bid, 101 3/8 offered, according to a trader.

Pricing on the term loan is Libor plus 475 bps with a 0% Libor floor and it was sold at an original issue discount of 99.75. The debt has 101 soft call protection for six months.

On Wednesday, the term loan was upsized from $310 million, the spread was trimmed from talk in the range of Libor plus 500 bps to 525 bps, the floor was reduced from 1%, the discount was modified from talk in the range of 99 to 99.5, the MFN sunset was removed and a requirement for an annual lender call was added.

The company’s $350 million of credit facilities also include a $20 million revolver.

SunTrust Robinson Humphrey Inc. and Cantor Fitzgerald are leading the deal that will be used to help fund the acquisition of HealthFair and to refinance existing debt. The funds from the recent term loan upsizing are replacing a $20 million equity contribution.

Gross leverage is 4.34 times, and net leverage is 4.12 times.

Matrix is a Scottsdale, Ariz.-based provider of in-home care to help health plans balance cost and revenue, grow membership and improve the quality of care. HealthFair is a Winter Springs, Fla.-based provider of mobile health assessment and diagnostic testing services.

Berry levels surface

Berry Global’s $1,645,000,000 covenant-light term loan Q due Oct. 1, 2022 and $496 million covenant-light term loan R due Jan. 19, 2024 broke, with levels on both tranches seen at par ¼ bid, par ½ offered, a market source said.

The loans are priced at Libor plus 200 bps with a 0% Libor floor and were issued at par. The debt has 101 soft call protection for six months.

Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Barclays, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, J.P. Morgan, Bank of America Merrill Lynch and Wells Fargo Securities LLC are leading the $2,141,000,000 in term loans (Ba2/BBB-). Credit Suisse is the administrative agent.

Proceeds will be used to reprice an existing term loan M due Oct. 1, 2022 and an existing term loan N due Jan. 19, 2024 down from Libor plus 225 bps with a 0% Libor floor.

Closing is expected on Monday.

Berry is an Evansville, Ind.-based provider of value-added plastic consumer packaging and engineered materials.

Jefferies frees to trade

Jefferies Finance’s $249,380,000 term loan emerged in the secondary too, with levels quoted at par bid, par ½ offered, a market source remarked.

Pricing on the loan is Libor plus 250 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC is leading the deal that will be used to reprice an existing term loan down from Libor plus 300 bps with a 1% Libor floor.

Jefferies is a New York-based commercial finance company.

Syniverse reworked

Syniverse upsized its five-year first-lien term loan (B2/B) to $1,702,000,000 from $1,552,000,000, firmed pricing at Libor plus 500 bps, the low end of the Libor plus 500 bps to 550 bps talk and modified the original issue discount to 99 from 98.5, while leaving the 1% Libor floor and 101 soft call protection for six months intact, according to a market source.

Also, the company added a $220 million six-year second-lien term loan (Caa2/CCC+) to its capital structure. Talk on this tranche was announced in the morning at Libor plus 900 bps with a 1% Libor floor and an original issue discount of 98 to 98.5, and by late afternoon, the discount on the second-lien loan firmed at 98.5, the source said. This loan has hard call protection of 103 in year one, 102 in year two and 101 in year three.

Also, the company set the size of its revolver (B2/B) at $86 million from talk of up to $120 million.

The company changed the MFN to eliminate the six month sunset provision, reduce the applicable interest rate margin differential triggering the application of the MFN provisions to 0.50% from 0.75% and reduce the aggregate principal amount of the dollar-capped exception to the MFN provisions to $50 million from $100 million.

Lastly, the restricted payments available amount starter basket was reduced to $200 million from $300 million, the baskets permitting the borrower and its restricted subsidiaries to enter into qualified receivables financing or other factoring or securitization of receivables was eliminated, and the incurrence ratio-based liens basket was revised to include a 6 times consolidated senior secured debt ratio test for the incurrence of junior liens.

Syniverse breaks

By late day, Syniverse’s credit facilities freed to trade, with the first-lien term loan quoted at par bid, par ½ offered before moving up to par ¼ bid, par 5/8 offered, and the second-lien term loan quoted at 99 bid, a trader added.

Goldman Sachs Bank USA, Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Mizuho and Bank of America Merrill Lynch are leading the $2,008,000,000 bank deal.

The new credit facilities will be used to consolidate and refinance the company’s extant term loans, and the incremental proceeds being raised will pay down the outstanding SFHC notes, the source added.

Closing is expected about 20 days from pricing.

Syniverse is a Tampa, Fla.-based provider of technology and business services for the telecommunications industry.

CSC firms spread, trades

CSC ServiceWorks set pricing on its $1,558,170,000 covenant-light first-lien term loan B due Nov. 14, 2022 at Libor plus 325 bps, the low end of the Libor plus 325 bps to 350 bps talk, according to a market source.

As before, the term loan has a 1% Libor floor, a par issue price and 101 soft call protection for six months.

With terms finalized, the loan hit the secondary market and levels were quoted at par 3/8 bid, par 7/8 offered, a trader added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to reprice an existing term loan B.

Closing is expected during the week of Feb. 12.

CSC ServiceWorks is a Plainview, N.Y.-based provider of multifamily residential and commercial laundry solutions, as well as tire inflation and vacuum vending services at convenience stores and gas stations.

Chromaflo updated, breaks

Chromaflo Technologies firmed the spread on its $356.4 million in senior secured covenant-light term loan B debt due Nov. 18, 2023 at Libor plus 350 bps, the low end of the Libor plus 350 bps to 375 bps talk, and extended the 101 soft call protection to one year from six months, a market source remarked.

The term debt, split between a $154,935,000 term loan B-1 at the U.S. borrower and a $201,465,000 term loan B-2 at the Dutch borrower, still has a 1% Libor floor and a par issue price.

Commitments/consents were due at noon ET on Friday and then the debt freed to trade with levels quoted at par ¼ bid, 101 offered, a trader added.

Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, KeyBanc Capital Markets and Jefferies LLC are leading the deal that will be used to reprice existing term loan B debt due 2023.

Closing is expected during the week of Feb. 12.

Chromaflo is an Ashtabula, Ohio-based manufacturer of chemical and pigment dispersions for architectural and industrial coatings.

Avis sets OID, frees up

Avis Budget Group finalized the original issue discount on its $1,139,000,000 seven-year term loan B at 99.75, the tight end of the 99.5 to 99.75, according to a market source.

As before, pricing on the loan is Libor plus 200 bps with a 0% Libor floor, and the debt has 101 soft call protection for six months.

The term loan broke for trading on Friday, with levels quoted at par bid, par ¼ offered, the source added.

J.P. Morgan Securities LLC is leading the deal that will be used to amend and extend an existing term loan due March 2022.

Avis is a Parsippany, N.J.-based provider of vehicle rental services.

Virtus finalized, trades

Virtus Investment Partners set pricing on its $105 million incremental senior secured covenant-light term loan B (Ba2/BB) due June 1, 2024 and repricing of its existing $258.7 million senior secured covenant-light term loan (Ba2/BB) due June 1, 2024 at Libor plus 250 bps, the tight end of the Libor plus 250 bps to 275 bps talk, according to a market source.

The term debt still has a 0.75% Libor floor and 101 soft call protection for six months, the incremental loan still has an original issue discount of 99.75 and the repricing still has a par issue price.

The incremental loan has a ticking fee of half the margin from days 31 to 60 and the full margin thereafter.

In the late afternoon, the debt freed up, with the incremental loan quoted at par bid, par ½ offered and the repriced loan quoted at par ¼ bid, par ¾ offered, a trader added.

Morgan Stanley Senior Funding Inc. is leading the deal.

The incremental loan will be used to fund the acquisition of Sustainable Growth Advisers (SGA), an investment manager, and the repricing will take the existing term loan down from Libor plus 375 bps with a step-down to Libor plus 350 bps at less than 1 times secured net leverage and a 0.75% Libor floor.

The repricing is expected to close during the week of Feb. 12 and the incremental is expected to fund in mid-2018.

Virtus is a Hartford, Conn.-based provider of investment management products and services.

Zotec sets changes, breaks

Zotec Partners lifted pricing on its $305 million six-year first-lien term loan to Libor plus 500 bps from talk in the range of Libor plus 425 bps to 450 bps, moved the original issue discount to 99 from 99.5 and extended the 101 soft call protection to one year from six months, a market source remarked.

The term loan still has a 1% Libor floor.

The company’s $325 million of credit facilities (B3/B-) also include a $20 million revolver.

By late day, the term loan began trading and it was seen at 99 bid, another source added.

Goldman Sachs Bank USA and Wells Fargo Securities LLC are leading the deal that will be used to refinance existing debt.

Zotec is a Carmel, Ind.-based pure-play physician revenue cycle management provider.

Access CIG tweaks timing

In other news, Access CIG accelerated the commitment deadline for its $1.01 billion of senior secured credit facilities to 5 p.m. ET on Monday from 5 p.m. ET on Thursday, a market source said.

The facilities consist of a $60 million five-year revolver (B2/B), a $575 million seven-year first-lien term loan (B2/B), a $120 million seven-year delayed-draw first-lien term loan (B2/B), a $215 million eight-year second-lien term loan (Caa2/CCC+) and a $40 million eight-year delayed-draw second-lien term loan (Caa2/CCC+).

Talk on the first-lien term debt is Libor plus 400 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and talk on the second-lien term debt is Libor plus 800 bps with a 0% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two. Ticking fees on the delayed-draw term loans are half the spread from days 61 to 120 and the full spread thereafter.

Jefferies LLC, Macquarie Capital (USA) Inc. and Nomura are leading the deal that will be used to refinance existing debt, and the delayed-draw term loans are intended to be used to fund acquisitions currently under letters of intent.

Access CIG is a Livermore, Calif.-based provider of physical and digital records and information management services.

Steinway accelerated

Steinway Musical Instruments moved up the commitment deadline on its $235 million seven-year covenant-light term loan B (B3/B) to noon ET on Monday from noon ET on Tuesday, a market source remarked.

Talk on the term loan is Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months.

Bank of America Merrill Lynch and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance an existing term loan B.

Steinway, owned by Paulson & Co., is an Astoria, N.Y.-based musical instruments company.

TTM floats talk

TTM Technologies held its lender call on Friday, launching its $300 million add-on term loan B (Ba3/BBB-) due Sept. 28, 2024 at talk of Libor plus 250 bps with a 0% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on Feb. 16, the source added.

Barclays, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and SunTrust Robinson Humphrey Inc. are leading the deal that will be used with $300 million of new unsecured debt and cash on hand to fund the acquisition of Anaren Inc. for about $775 million in cash from affiliates of Veritas Capital.

Closing is expected in the first half of this year, subject to customary conditions, including regulatory approvals.

TTM is a Costa Mesa, Calif.-based printed circuit board manufacturer. Anaren is a Syracuse, N.Y.-based designer and manufacturer of high-frequency RF and microwave microelectronics, components and assemblies for the space, defense and telecommunications sectors.

American Traffic on deck

American Traffic Solutions scheduled a bank meeting for 10 a.m. ET in New York on Tuesday to launch $1.04 billion in term loans, a market source said.

The debt consists of an $840 million seven-year covenant-light first-lien term loan B and a $200 million eight-year covenant-light second-lien term loan, the source added.

Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., BMO Capital Markets, Deutsche Bank Securities Inc. and Credit Suisse Securities (USA) LLC are leading the deal that will be used to finance the acquisition of Highway Tolling Administration and to refinance existing debt.

American Traffic is a provider of traffic safety technology to government clients and toll management, toll insurance, violation management and title and registration services to rental car and fleet management companies.

Oryx joins calendar

Oryx set a bank for noon ET on Monday to launch $840 million of credit facilities, according to a market source.

The facilities consist of a $40 million super priority revolver, and an $800 million seven-year first-lien term loan that includes 101 soft call protection for six months, the source said.

Jefferies LLC and Citigroup Global Markets Inc. are leading the deal.

The new credit facilities will be used to repay $90 million of outstanding bank debt and to fund a distribution to the company’s current owners.

Oryx is an oil gathering and transportation business in the Delaware Basin.

EaglePicher coming soon

EaglePicher Technologies will hold a bank meeting at 10:30 a.m. ET on Tuesday to launch $615 million of senior secured credit facilities, a market source remarked.

The facilities consist of a $50 million five-year revolver, a $405 million seven-year first-lien term loan that has 101 soft call protection for six months, and a $160 million eight-year second-lien term loan that has hard call protection of 102 in year one and 101 in year two, the source added.

Jefferies LLC, Barclays and RBC Capital Markets are leading the deal that will be used to help fund the buyout of the company by GTCR from Apollo Global Management LLC.

Closing is expected this quarter.

EaglePicher is a St. Louis-based provider of mission-critical power and energy solutions for high-value applications within the defense, aerospace and medical end markets.

FirstLight allocates

FirstLight Fiber allocated on Friday its fungible $30 million add-on term loan B (B-) due 2024, a market source said.

Pricing on the term loan is Libor plus 400 bps with a 1% Libor floor and it was issued at par.

TD Securities is leading the deal that will be used to pay down revolver borrowings and fund capital expenditures.

Including the add-on, the term loan will total around $304 million.

FirstLight Fiber is an Albany, N.Y.-based bandwidth infrastructure provider.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.