Refinitiv timing of loan, bonds expected to accelerate; Altra talks $1.34 billion

By Paul A. Harris

Portland, Ore., Sept. 11 – In the bank loan market the massive $13.5 billion of institutional bond and loan debt backing the Refinitiv deal appears unlikely to remain in the market over the coming weekend.

There is a high probability that both the bonds and the loans will be priced on Friday.

Loan investors have been expecting to have until 5 p.m. ET on Monday to turn in their commitments, according to the original timing, sources say.

Demand for the junk bonds is massive, sources say.

However demand for the $8 billion of term loan debt in the Refinitiv deal is nowhere near as substantial as demand for the bonds, a loan trader said Tuesday.

The book for the $5.5 billion seven-year covenant-light term loan B is at deal size, while that book for the $2.5 billion equivalent euro-denominated seven-year covenant-light term B has yet to reach deal size, the source said.

As with the bonds, talk on the loans remains unchanged: Libor plus 400 basis points to 425 bps, with a 0% Libor floor, at 99 to 99.5 on the dollar-denominated loan, Euribor plus 425 bps, a 0% Euribor floor, at 99 to 99.5 on the euro-denominated loan.

Altra Industrial Motion Corp. set price talk on its $1.34 billion first-lien covenant light term loan at Libor plus 275 basis points to 300 bps.

The loan is being offered at 99.5 with a Libor floor of 0%.

© 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.