Revere Power hits secondary; Dun & Bradstreet, Perforce Software revise deals

By Sara Rosenberg

New York, Feb. 1 – Revere Power LLC reduced the size of its term loan C and then the company’s credit facilities allocated and freed up for trading on Friday, with the strip of term loan C and term loan B debt quoted above its original issue discount.

In more happenings, Dun & Bradstreet Corp. downsized its term loan B, widened the spread, eliminated a pricing step-down and sweetened the call protection.

Also, Perforce Software Inc. shifted some funds between its incremental first-lien term loan and privately placed incremental second-lien term loan, while also tightening the spread and original issue discount on the first-lien debt, and Oregon Clean Energy LLC surfaced with new deal plans.

Revere Power downsizes

Revere Power trimmed its seven-year term loan C to $70 million from $86 million because of a revised need for cash on the balance sheet, a market source remarked.

As before, the term loan C, as well as a $445 million seven-year term loan B, are priced at Libor plus 425 basis points with a 0% Libor floor and an original issue discount of 98.5.

The term loans have 101 soft call protection for six months.

The company’s now $570 million of credit facilities (Ba3/BB-) also include a $55 million five-year revolver.

Commitments were due at 11 a.m. ET on Friday, the source continued.

Revere starts trading

In the afternoon, Revere Power’s bank debt emerged in the secondary market, with the term loan B and term loan C strip quoted at 98¾ bid, 99¾ offered, another source added.

Jefferies LLC, SunTrust Robinson Humphrey Inc. and Mirae are leading the deal that will be used to help fund Carlyle Group’s acquisition of three natural gas-fired generation facilities, known as Bridgeport Energy, Tiverton Power and Rumford Power, for $590 million from Emera Inc. The term loan C will be used to put cash on the balance sheet for various maintenance contracts.

Closing is expected this quarter, subject to regulatory approvals.

Dun & Bradstreet reworked

Back in the primary market, Dun & Bradstreet scaled back its seven-year term loan B to $2.53 billion from $2.63 billion, raised pricing to Libor plus 500 basis points from talk in the range of Libor plus 450 bps to 475 bps, removed a 25 bps pricing step-down at 3.7 times leverage and extended the 101 soft call protection to one year from six months, according to a market source.

Additionally, the asset-sale step-downs were eliminated and the inside maturity carve-out was reduced to $350 million with no grower from $575 million or 75% EBITDA.

As before, the term loan B has a 0% Libor floor and an original issue discount of 98.

The company’s now $2.93 billion of senior secured credit facilities also include a $400 million five-year revolver.

Along with the term loan B downsizing, the company upsized its secured notes offering to $700 million from $500 million and downsized its unsecured notes offering to $750 million from $850 million.

Dun lead banks

Bank of America Merrill Lynch, Citigroup Global Markets Inc., RBC Capital Markets, Credit Suisse Securities (USA) LLC, MUFG and Mizuho are leading Dun & Bradstreet’s credit facilities.

Recommitments were due at noon ET on Friday, the source added.

The new debt will be used with up to $1,943,000,000 of equity and up to $1.05 billion of preferred equity to fund the buyout of the company by an investor group led by CC Capital, Cannae Holdings and Thomas H. Lee Partners LP for $145 in cash per share in a transaction valued at $6.9 billion, including the assumption of $1.5 billion of Dun & Bradstreet’s net debt.

Closing is expected this quarter, subject to regulatory clearances and other customary conditions.

Dun & Bradstreet is a Short Hills, N.J.-based provider of commercial data and analytics.

Perforce sets changes

Perforce Software raised its incremental first-lien term loan to $410 million from $375 million, lowered pricing to Libor plus 450 bps from Libor plus 475 bps and adjusted the original issue discount to 99.5 from 99, a market source said. The 1% Libor floor was unchanged.

Also, the company scaled back its privately placed incremental second-lien term loan to $50 million from $85 million.

In connection with this transaction, the spread on the company’s existing roughly $330 million first-lien term loan is being increased to Libor plus 450 bps from Libor plus 425 bps, and all of the first-lien term loan debt is getting 101 soft call protection for six months.

Allocations and closing are targeted for the week of Feb. 4, the source added.

Antares Capital, Ares Capital Management, Varagon Capital Partners and AB Private Credit Investors are leading the deal that will be used to finance the acquisition of Rogue Wave Software.

Perforce, a Clearlake Capital Group LP portfolio company, is a Minneapolis-based provider of software solutions for enterprise software development operations teams.

Oregon Clean on deck

Oregon Clean Energy set a bank meeting for 3 p.m. ET in New York on Monday to launch $550 million of credit facilities (Ba3/BB-), according to a market source.

The facilities consist of a $50 million revolver and a $500 million seven-year first-lien term loan, the source said.

Talk on the term loan is Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

Commitments are due at noon ET on Feb. 15, the source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to refinance existing debt and fund a shareholder distribution.

Oregon Clean Energy is an 870 MW combined cycle natural gas-fired generation facility located in Oregon, Ohio.

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