Q Holding extended term loan B breaks; WS Audiology changes add-on loan discount

By Sara Rosenberg

New York, Aug. 20 – In the secondary market on Tuesday, Q Holding Co.’s amended and extended term loan B freed to trade in the afternoon.

And, over in the primary market, WS Audiology (Auris Luxembourg III SA) widened the original issue discount on its add-on term loan B-2 and extended the commitment deadline.

Q Holding starts trading

Q Holding’s $275 million term loan B due December 2023 freed up during the session, with levels quoted at 99½ bid, par offered, according to a trader.

Pricing on the term loan B is Libor plus 500 basis points with a 1% Libor floor.

RBC Capital Markets and ING Capital are leading the deal that will be used to amend and extend an existing term loan B due December 2021 that is currently priced at Libor plus 500 bps with a 1% Libor floor.

Consenting lenders were offered a 50 bps fee and new money lenders received an original issue discount of 99.5.

During syndication, pricing on the extended term loan B was increased from talk in the range of Libor plus 450 bps to 475 bps.

Q Holding, a portfolio company of 3i Group, is a Solon, Ohio-based provider of highly engineered products and elastomeric solutions for the global life sciences and electrical management markets.

WS Audiology tweaked

WS Audiology widened the original issue discount on its $100 million add-on senior secured covenant-lite term loan B-2 (//B+) due February 2026 to 98.51 from 99.5, a market source remarked.

As before, pricing on the add-on term loan B-2 is Libor plus 375 bps with a 0% Libor floor, which matches existing term loan B-2 pricing.

Commitments are due at noon ET on Wednesday, extended from 5 p.m. ET on Tuesday, the source added.

Citigroup Global Markets Inc. and J.P. Morgan Securities LLC are leading the deal that will be used for general corporate purposes, including strategic mergers and acquisitions. Deutsche Bank Securities Inc. is the administrative agent.

Closing is expected during the week of Aug. 26.

The total pro forma term loan B-2 size will be $1.26 billion.

WS Audiology is a pure play producer of hearing aids and accessories with headquarters in Lynge, Denmark, and Singapore.

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