Jarden lifts term debt amount to $900 million, revises discounts

By Sara Rosenberg

New York, July 27 – Jarden Corp. upsized its new term loan debt to a total of $900 million from a total of $600 million, and set the split as a fungible $300 million add-on term loan B-1 due Sept. 30, 2020 and a new $600 million seven-year term loan B-2, whereas before the split was still to be determined, according to a market source.

Furthermore, the original issue discount on the term loan B-1 firmed at 99.75, the tight end of the 99.5 to 99.75 talk, and the discount on the term loan B-2 finalized at 99.25, the tight end of the 99 to 99.25 talk, the source continued.

Pricing on all of the term loan debt is still Libor plus 275 basis points with no Libor floor, which matches pricing on the company’s existing term loan B-1.

The add-on, the B-2 loan and the company’s existing B-1 loan are still all getting 101 soft call protection for six months.

Final commitments were due at 5 p.m. ET on Monday.

Barclays, Credit Suisse Securities (USA) LLC and UBS AG are the bookrunners on the deal.

Proceeds will be used to help fund the company’s acquisition of Waddington Group Inc. from Olympus Partners and other stockholders for about $1.35 billion, and the funds from the upsizing of the term debt will be used for general corporate purposes, the source added.

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

Jarden is a Boca Raton, Fla.-based diversified consumer products company. Waddington is a Covington, Ky.-based manufacturer and marketer of disposable tableware for commercial, foodservice and retail markets.

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