HUB, Auxilium break; Quikrete, Belden, Jarden, PRA Holdings, Albertson's tweak deals

By Sara Rosenberg

New York, Sept. 17 - HUB International Ltd.'s credit facility made its way into the secondary market on Tuesday with levels seen above its issue price, and Auxilium Pharmaceuticals Inc.'s add-on term loan began trading too.

Over in the primary, Quikrete lowered spreads on its first- and second-lien term loans, tightened discounts on the tranches and reduced the call protection on the second-lien debt, and Belden Inc. cut the coupon and discount on its B loan.

Also, Jarden Corp. updated tranching on its incremental debt and adjusted the offer price on its B-1 loan, PRA Holdings Inc. reverse flexed its term loan, Albertson's LLC modified the original issue discount on its term B-2 and Sabre Inc. accelerated the commitment deadline on its loan.

In addition, Hilton Worldwide Holdings Inc. released price talk with launch, Springleaf Financial Funding Co. and Nexstar Broadcasting Inc. brought loans to market, and Samson Investment Co. and Mitchell International surfaced with new deal plans.

HUB tops OID

HUB International's credit facility freed up on Tuesday, with the $1.87 billion seven-year term loan B quoted at par bid, par ½ offered, according to a trader.

Pricing on the B loan is Libor plus 375 basis points with a 1% Libor floor and it was sold at an original issue discount of 991/2. There is 101 soft call protection for six months.

During syndication, the term loan B was upsized from $1,785,000,000 as the company's bong offering was downsized to $950 million from $1,035,000,000, pricing firmed at the tight end of the Libor plus 375 bps to 400 bps talk and the discount was revised from 99.

The company's $2,145,000,000 credit facility (B1), which is expected to close on Oct. 2, also includes a $225 million five-year revolver and a C$50 million five-year revolver.

Morgan Stanley Senior Funding Inc., Bank of America Merrill Lynch and RBC Capital Markets are the joint lead arrangers on the deal and are joint bookrunners with BMO Capital Markets, Macquarie Capital and UBS Securities LLC.

Proceeds from the new debt transaction will be used to help fund the buyout of the Chicago-based insurance brokerage by Hellman & Friedman LLC and to refinance existing debt.

Auxilium frees up

Auxilium Pharmaceuticals' $50 million add-on term loan B also broke for trading with levels quoted at 101 bid, 102 offered, according to a trader.

The add-on loan is priced at Libor plus 500 bps with a 1.25% Libor floor, in line with existing term loan B pricing, and was sold at par. There is hard call protection of 102, 101.

Morgan Stanley Senior Funding Inc. is the lead bank on the deal.

Auxilium is a Malvern, Pa.-based specialty biopharmaceutical company.

Quikrete reworks deal

Moving to the primary, Quikrete cut pricing on its $1.23 billion seven-year first-lien term B (B1/B+) to Libor plus 300 bps from Libor plus 325 bps and moved the discount to 99½ from 99, while keeping the 1% Libor floor and 101 soft call protection for six months intact, according to a market source.

Meanwhile, pricing on the $190 million 71/2-year second-lien term loan (B3/B-) was revised to Libor plus 600 bps from Libor plus 700 bps, the discount was changed to 99 from 98 and call protection was shortened to 102 in year one and 101 in year two from 103 in year one, 102 in year two and 101 in year three, the source said. This tranche still has a 1% Libor floor.

The company's $1.62 billion credit facility also includes a $200 million ABL revolver.

Recommitments were due at the end of the day on Tuesday, the source added.

Wells Fargo Securities LLC is leading the deal that will fund the acquisition of Custom Building Products Inc. from Kelso & Co.

Quikrete is an Atlanta-based manufacturer of packaged concrete and related products. Custom Building Products is a Seal Beach, Calif.-based producer of mortar, sealant, grout, backerboard, tools and associated products for the installation and care of ceramic tile and stone.

Belden flexes

Belden trimmed the spread on its $250 million seven-year covenant-light term loan B (Baa2) to Libor plus 250 bps from Libor plus 275 bps and tightened the original issue discount to 99¾ from talk of 99 to 991/2, a market source remarked.

As before, the loan has a 0.75% Libor floor and 101 soft call protection for six months.

The company's $650 million credit facility also includes a $400 million ABL revolver.

Recommitments were due at the end of the day on Tuesday, the source said.

Wells Fargo Securities LLC and J.P. Morgan Securities LLC are leading the deal that will be used to refinance existing debt.

Belden is a St. Louis-based designer, manufacturer and seller of signal transmission products for industrial automation, data centers, broadcast studios and aerospace markets.

Jarden updates loan

Jarden set the size of its new seven-year B-1 tranche (Ba1/BBB-) at $750 million and changed the discount to 99½ from 99, while the Libor plus 275 bps with no Libor floor pricing and the 101 soft call protection for six months were unchanged, according to a market source.

With sizing the B-1 loan at the full amount of the planned incremental debt, the company eliminated plans for an add-on to its existing term loan B due March 31, 2018 that was talked at Libor plus 250 bps with no floor, in line with existing term loan B pricing, and was offered at a discount of 991/2.

Recommitments were due at 5 p.m. ET on Tuesday, the source said.

Barclays, J.P. Morgan Securities LLC, SunTrust Robinson Humphrey Inc., Wells Fargo Securities LLC, Deutsche Bank Securities Inc. and Credit Suisse Securities (USA) LLC are leading the deal.

Jarden buying Yankee

Proceeds from Jarden's term loan B-1, cash on hand and common equity will be used to fund the acquisition of Yankee Candle Investments LLC from Madison Dearborn Partners LLC for $1.75 billion in cash.

Closing is expected early in the fourth quarter, subject to customary conditions and regulatory approvals.

Secured leverage is 3.1 times and net total leverage is 3.6 times, excluding an accounts receivables securitization, the source added.

Jarden is a Rye, N.Y.-based provider of a diverse range of consumer products. Yankee Candle is a South Deerfield, Mass.-based designer, manufacturer, wholesaler and retailer of scented candles.

PRA trims coupon

PRA Holdings reduced pricing on its $825 million seven-year first-lien term to Libor plus 400 bps from talk of Libor plus 425 bps to 450 bps, and kept the 1% Libor floor and original issue discount of 99 intact, according to a market source. The debt has 101 soft call protection for six months.

The company's $950 million credit facility (B1/B) also includes a $125 million five-year revolver.

Recommitments were due at 5 p.m. ET on Tuesday, the source said. The original commitment deadline had been set for Wednesday.

UBS Securities LLC, Jefferies Finance LLC, Credit Suisse Securities (USA) LLC, KKR Capital Markets and Citigroup Global Markets Inc. are leading the deal that is expected to allocate on Wednesday.

Proceeds will be used to help fund KKR's buyout of PRA International from Genstar Capital LLC and ReSearch Pharmaceutical Services Inc. from Warburg Pincus and the merger of the two companies.

Closing is expected in the third quarter, subject to regulatory approvals and other customary conditions.

PRA is a Raleigh, N.C.-based contract research organization. ReSearch Pharmaceutical is a Fort Washington, Pa.-based provider of outsourced clinical development services.

Albertson's tweaks OID

Albertson's tightened the original issue discount on its $300 million incremental senior secured covenant-light term loan B-2 due March 21, 2019 to 99½ from 99, while keeping pricing at Libor plus 375 bps with a 1% Libor floor, according to a market source.

Still included in the term loan is a ticking fee of half the spread from days 31 to 60 and the full spread thereafter, and the same call protection expiring May 9, 2014 as the existing term loan.

Recommitments were due at noon ET on Tuesday, the source remarked.

Citigroup Global Markets Inc., Bank of America Merrill Lynch and Goldman Sachs Bank USA are leading the deal that will be used to fund the acquisition of Lubbock, Texas-based United Supermarkets LLC.

Closing and funding is targeted for October.

Albertson's is an Idaho-based food and drug retailer.

Sabre shutting early

Sabre moved up the commitment deadline on its $300 million covenant-light term loan B-2 (B) to noon ET on Wednesday from Thursday, according to a market source.

Price talk on the loan is Libor plus 375 bps to 400 bps with a 1% Libor floor and an original issue discount of 991/2, and there is 101 soft call protection through February 2014.

Bank of America Merrill Lynch is leading the deal that will be used to help fund costs associated with a marketing agreement between Sabre's wholly owned company, Travelocity, and Expedia Inc.

Sabre is a Southlake, Texas-based online travel company.

Hilton discloses talk

In more new deal happenings, Hilton Worldwide held its bank meeting on Tuesday, and, in connection with the launch, price talk on the $5.85 billion in term loans was announced, according to a market source.

The $850 million five-year covenant-light term loan B is talked at Libor plus 300 bps with a 1% Libor floor and an original issue discount of 991/2, and the $5 billion seven-year covenant-light term loan B-2 is talked at Libor plus 325 bps to 350 bps with a 1% Libor floor and a discount of 99, the source said. Both tranches have 101 soft call protection for six months.

The company's $6.85 billion credit facility (Ba3/BB) also includes a $1 billion revolver.

Deutsche Bank Securities Inc., BofA Merrill Lynch, J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and Goldman Sachs Bank USA are leading the deal that will be used with new notes to refinance existing debt.

The new debt is expected to be completed before the McLean, Va.-based hospitality company closes on its recently announced initial public offering of common stock.

Springleaf comes to market

Springleaf Financial Funding launched a $250 million to $500 million six-year term loan B-2 that is talked at Libor plus 350 bps with a 1.25% Libor floor, a par offer price and 101 soft call protection for one year, according to a market source.

Commitments are due at 5 p.m. ET on Sept. 25, the source said.

Bank of America Merrill Lynch is leading the deal that will be used to repay existing term loan B debt due in 2017.

The company said in an 8-K filed with the Securities and Exchange Commission that it also expects to repay a substantial portion of the existing term loan with cash on hand by the end of September and retire the remaining balance by the end of the year.

Springleaf is an Evansville, Ind.-based provider of loans, retail financing and other credit-related products.

Nexstar holds call

Nexstar Broadcasting hosted a call in the afternoon to launch a $150 million term loan B-2 (Ba3/BB) with talk of Libor plus 275 bps to 300 bps with a 1% Libor floor and an original issue discount of 991/2, according to a market source.

Bank of America Merrill Lynch, RBC Capital Markets LLC, Credit Suisse Securities (USA) LLC and Wells Fargo Securities LLC are leading the deal.

Proceeds from the term loan and $275 million of notes, will be used to help repurchase 8 7/8% senior secured second-lien notes due 2017, fund the acquisition of five television stations from Citadel Communications LP and Stainless Broadcasting LP, and for general corporate purposes.

Nexstar is an Irving, Texas-based diversified media company.

Penton deadline emerges

Penton Media Inc. held its bank meeting on Tuesday afternoon to launch its $720 million credit facility, and investors were told that commitments for the deal are due on Sept. 26, according to a market source.

As previously reported, the facility consists of a $50 million five-year revolver (B2/B), a $520 million six-year first-lien term loan (B2/B) talked at Libor plus 425 bps with a 1.25% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, and a $150 million seven-year second-lien term loan (Caa2/CCC+) talked at Libor plus 775 bps with a 1.25% Libor floor, a discount of 98½ and call protection of 103 in year one, 102 in year two and 101 in year three, the source remarked.

Credit Suisse Securities (USA) LLC, GE Capital Markets, Bank of America Merrill Lynch and Macquarie Capital are leading the deal.

Proceeds will be used by the New York-base tradeshow and professional information services company to refinance existing debt.

Samson readies call

Samson Investment set a call for 10 a.m. ET on Wednesday to launch a $1 billion senior secured covenant-light term loan due Sept. 25, 2018 that is talked at Libor plus 400 bps with a 1% Libor floor, a par offer price and 101 soft call protection for six months, according to a market source.

Proceeds will be used to reprice an existing term loan from Libor plus 475 bps with a 1.25% Libor floor.

Commitments are due at 5 p.m. ET on Sept. 24, the source continued.

Credit Suisse Securities (USA) LLC is leading the deal.

Samson is a Tulsa, Okla.-based private exploration and production company.

Mitchell sets meeting

Mitchell International scheduled a bank meeting for Thursday to launch a $785 million credit facility that will help fund its buyout by KKR from Aurora Capital Group, according to a market source.

The deal consists of a $50 million five-year revolver, a $490 million seven-year first-lien term loan and a $245 million eight-year second-lien term loan, the source said.

Bank of America Merrill Lynch, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc., Mizuho Securities USA Inc., KKR Capital Markets, RBC Capital Markets LLC and SMBC are the leads on the deal, with Bank of America left lead on the first-lien debt and Goldman left lead on the second-lien debt.

Closing is expected in the fourth quarter, subject to customary conditions including regulatory approval.

Mitchell is a San Diego-based provider of technology, connectivity and information services to the property & casualty claims and collision repair industries.

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