Delta, U.S. Shipping, Osmose, EveryWare, Advantage Sales break; Lineage, Caraustar up deadlines

By Sara Rosenberg

New York, April 22 - Delta Air Lines Inc.'s term loans made their way into the secondary market on Monday at par-plus levels, and U.S. Shipping Corp., Osmose Holdings Inc., EveryWare Global Inc. and Advantage Sales and Marketing Inc. freed up as well.

Over in the primary, Lineage Logistics LLC and Caraustar Industries Inc. accelerated the deadlines on their deals, and 24 Hour Fitness Worldwide Inc. trimmed the coupon and added a step-down to its term B.

Also, Covis Pharma Holdings Sarl tightened the spread and issue price on its term loan, HCA Inc. upsized its term B-4, MCCI Medical lifted its revolver size and Bausch & Lomb Inc. increased the pricing step-down on its tranches.

In addition, National CineMedia LLC, Virtu Financial (VFH Parent LLC) and EP Energy Corp. and CCC Information Services Inc. launched new deals.

Furthermore, Arctic Glacier LLC and Dave & Buster's Inc. started floating talk on their upcoming transactions, and Calpine Construction Finance Co. LP, PowerTeam Services (Power Buyer LLC), Ineos Group Holdings SA and Learning Care Group Inc. emerged with new loan plans.

Delta tops par

Delta's credit facility broke for trading on Monday, with both the $1,097,000,000 term loan B-1 due Oct. 18, 2018 and the $399 million term loan B-2 due April 18, 2016 quoted at par ¼ bid, par ¾ offered, according to a market source.

Pricing on the term loan B-1 is Libor plus 300 basis points, after flexing recently from Libor plus 325 bps. There is a 1% Libor floor and 101 soft call protection for six months, and the debt was issued at par.

The term loan B-2, meanwhile, is priced at Libor plus 225 bps with a 1% Libor floor and was also sold at par.

Proceeds are being used to reprice an existing term loan B-1 from Libor plus 400 bps with a 1.25% Libor floor and a term loan B-2 from Libor plus 300 bps with a 1.25% Libor floor.

Delta lead banks

Barclays, Bank of America Merrill Lynch, BNP Paribas Securities Corp., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Goldman Sachs & Co., J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and UBS Securities LLC are leading Delta's $1,496,000,000 deal.

The loans have a senior security interest on Pacific Route system assets.

Leverage is 3.1 times senior secured, 3.3 times total and 2.5 times net total.

Delta is an Atlanta-based provider of scheduled air transportation for passengers and cargo.

U.S. Shipping frees up

U.S. Shipping's $220 million five-year senior secured term loan B (B3/B) began trading in the morning, with levels quoted at par ½ bid, 101½ offered, according to a trader.

Pricing on the loan is Libor plus 775 bps with a 1.25% Libor floor, and it was sold at an original issue discount of 99. The debt is non-callable for one year, then at 102 in year two and 101 in year three.

During syndication, the spread firmed at the tight end of the Libor plus 775 bps to 800 bps talk and the call protection was revised from non-callable for one year, then at 101 in year two.

UBS Securities LLC and Bank of America Merrill Lynch are leading the deal that will be used to refinance existing debt.

U.S. Shipping is an Edison, N.J.-based provider of long-haul marine transportation services.

Osmose starts trading

Also hitting the secondary was Osmose's roughly $404.1 million first-lien covenant-light term loan (B+) due November 2018, with levels quoted at 101 bid by late day, according to a market source.

Pricing on the term loan is Libor plus 375 bps with a 1% Libor floor, and it was issued at par. There is 101 repricing protection for six months.

Credit Suisse Securities (USA) LLC is the lead bank on the deal.

Proceeds are being used to reprice an existing roughly $354.1 million term loan due November 2018 from Libor plus 550 bps with a 1.25% Libor floor, and the $50 million of incremental debt being raised are being used to fund a dividend.

Osmose is a Buffalo, N.Y.-based provider of wood preservation technology as well as utility and railroad asset management.

EveryWare levels surface

EveryWare's credit facility was yet another deal to begin trading, with the $250 million first-lien term loan (B2/B) quoted at 99¼ bid, par ¼ offered, according to a market source.

Pricing on the B loan is Libor plus 625 bps with a 1.25% Libor floor, and it was sold at an original issue discount of 99. There is call protection of 102 in year one and 101 in year two.

Last week, the spread on the term B was increased from Libor plus 550 bps and the call premium was changed from 101 soft call protection for one year.

Along with the flex, the company revised the term loan's accordion to $50 million subject to a first-lien leverage ratio of 3.5 times, from $40 million plus an additional $35 million subject to a first-lien leverage ratio of 3.5 times, the source said.

And, the available amount starter basket was reduced to $10 million from $20 million, the source continued.

The company's $300 million credit facility also provides for a $50 million ABL revolver that is not being syndicated.

EveryWare funding merger

Proceeds from EveryWare's credit facility will be used to help finance its merger with ROI Acquisition Corp., and the combined company will be named EveryWare Global Inc.

The company's existing stockholders will receive cash consideration of between $90 million and $107.5 million and shares of common stock of ROI, representing between 69.4% and 59.4% of the post-merger company.

Deutsche Bank Securities Inc. and Jefferies Finance LLC are the lead banks on the term loan.

Closing is expected this quarter.

EveryWare, a Monomoy Capital Management LLC portfolio company, is a designer, manufacturer and marketer of tabletop and food preparation products. ROI Acquisition is a New York-based special purpose acquisition company.

Advantage Sales breaks

Advantage Sales and Marketing's $120 million of add-on covenant-light term loans emerged in the secondary as well, with the $90 million add-on first-lien term loan due December 2017 quoted at par ½ bid, and the $30 million add-on second-lien term loan due June 2018 quoted at par ¾ bid, according to sources.

Pricing on the first-lien add-on is Libor plus 325 bps, and pricing on the second-lien add-on is Libor plus 725 bps, with both having a 1% Libor floor and a par issue price that was revised recently from 991/2.

Call protection on the first- and second-lien add-on loans is 101 soft call through February 2014, same as the existing call protection.

Credit Suisse Securities (USA) LLC, UBS Securities LLC and J.P. Morgan Securities LLC are leading the deal that will be used to refinance mezzanine debt.

Advantage Sales is an Irvine, Calif.-based sales and marketing agency.

TriNet holds steady

Also in trading, TriNet HR Corp.'s $100 million incremental term loan B held firm on Monday, with levels quoted at par ½ bid, 101 offered, in line with where it broke on Friday, according to a trader.

Pricing on the B loan add-on is Libor plus 525 bps with a 1.25% Libor floor, which matches existing term loan B pricing. The debt was issued at par after being revised recently from original issue discount talk in the 99½ area.

The company's $150 million of incremental debt (B2/B+) also includes a $50 million add-on term loan A.

Bank of America Merrill Lynch, KeyBanc Capital Markets LLC, J.P. Morgan Securities LLC and BMO Capital Markets Corp. are leading the deal.

Proceeds will be used to fund a dividend and for general corporate purposes. TriNet is a San Leandro, Calif., cloud-based provider of on-demand HR services.

Lineage moves deadline

Moving to the primary, Lineage Logistics' revised the commitment deadline for its $220 million six-year first-lien term loan (B3/B) to 5 p.m. ET on Tuesday from Friday, according to sources.

As previously reported, price talk on the loan is Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99 and 101 repricing protection for one year.

Credit Suisse Securities (USA) LLC, Goldman Sachs & Co., SunTrust Robinson Humphrey Inc. and KKR Capital Markets are the leads on the deal.

Proceeds will be used to refinance existing debt, to fund acquisitions and for general corporate purposes.

Lineage Logistics is a Colton, Calif.-based cold storage warehousing and logistics company.

Caraustar shutting early

Caraustar Industries accelerated the commitment deadline on its $330 million six-year covenant-light first-lien term loan (B2/B+) to 5 p.m. ET on Tuesday from Wednesday, according to a market source.

Price talk on the term loan is Libor plus 650 bps with a 1.25% Libor floor, an original issue discount of 99 and soft call protection of 102 in year one and 101 in year two.

The company's $380 million credit facility also includes a $50 million five-year ABL revolver (Ba2/BB).

Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. and Jefferies Finance LLC are leading the deal that will be used to help fund the buyout of the company by H.I.G. Capital.

Caraustar is an Austell, Ga.-based manufacturer of recycled paperboard products and packaging.

24 Hour flexes

24 Hour Fitness reduced pricing on its $585 million term loan B due April 2016 to Libor plus 400 bps from talk of Libor plus 425 bps to 450 bps and added a step-down to Libor plus 375 bps when senior leverage is less than 2.75 times, according to a market source.

The loan still has a 1.25% Libor floor, a par offer price and 101 soft call protection for one year.

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

J.P. Morgan Securities LLC is leading the deal that will be used to reprice/refinance an existing term loan B.

At Dec. 31, the San Ramon, Calif.-based fitness-club operator had senior leverage of about 3.2 times, the source added.

Covis updates pricing

Covis Pharma lowered the coupon on its $205 million six-year first-lien term loan to Libor plus 475 bps from talk of Libor plus 525 bps to 550 bps and moved the issue price to par from 99, according to a market source.

As before, the loan has a 1.25% Libor floor and 101 soft call protection for one year.

The company's $230 million credit facility (B3/B) also includes a $25 million five-year revolver.

Recommitments were due at 5 p.m. ET on Monday, the source added.

Credit Suisse Securities (USA) LLC and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to fund the acquisition of select off-patent drugs.

Covis is a Zug, Switzerland-based specialty pharmaceutical company.

HCA lifts loan size

HCA raised its term loan B-4 to $2,373,000,000 from $1.25 billion, and left pricing unchanged at Libor plus 275 bps with no Libor floor and a par offer price, according to a market source.

Bank of America Merrill Lynch is leading the deal that will be used to refinance a term loan B-3 that is priced at Libor plus 325 bps with no Libor floor.

HCA is a Nashville-based healthcare company.

MCCI upsizes

MCCI Medical increased its revolver to $150 million from $100 million, while keeping pricing at Libor plus 250 bps with no Libor floor, according to a market source.

The company's now $375 million credit facility also includes a $225 million five-year term loan priced at Libor plus 250 bps with no floor.

Fifth Third Securities Inc., SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC are leading the deal that will be used to refinance existing debt.

Closing is targeted for Wednesday, the source remarked.

MCCI is a Miami-based operator of medical centers.

Bausch & Lomb tweaks step

Bausch & Lomb modified the pricing grid on all tranches under its roughly $3.08 billion credit facility repricing to a 50 bps step-down when total net leverage is less than 4½ times from a 25 bps step-down, a market source said.

Under the transaction, the company is repricing its roughly $1.92 billion U.S. term loan to Libor plus 300 bps with a 1% Libor floor from Libor plus 425 bps with a 1% floor, on its roughly $590 million euro equivalent term loan to Euribor plus 350 bps with a 1% floor from Euribor plus 475 bps with a 1% floor, on its $399 million delayed-draw term loan to Libor plus 325 bps with no floor from Libor plus 375 bps with a 1% floor, and on its $170 million revolver to Libor plus 275 bps from Libor plus 375 bps.

The revolver has a 50 bps facility fee and the repriced term loans have 101 soft call protection for six months.

With the repricing, the maturity on the delayed-draw term loan is being extended by one year.

Lead bank, Citigroup Global Markets Inc., asked for recommitments by noon ET on Monday.

Bausch & Lomb is a Rochester, N.Y.-based maker of contact lenses, ophthalmic surgical devices and instruments and ophthalmic pharmaceuticals.

National CineMedia repricing

In more primary happenings, National CineMedia launched with a call on Monday afternoon a $380 million credit facility that will be used to refinance/reprice an existing $375 million credit facility, according to sources.

The consists of a $110 million revolver talked at Libor plus 200 bps with no Libor floor, and a $270 million term loan talked at Libor plus 250 bps to 275 bps with no floor, a par offer price and 101 soft call protection for one year, sources said.

With this transaction, the company is repricing an existing $110 million revolver from Libor plus 225 bps and a $265 million term loan from Libor plus 325 bps with no Libor floor, and getting $5 million of incremental borrowings for general corporate purposes.

Barclays is the leading the deal, for which commitments are due on Friday, sources added.

National CineMedia is a Centennial, Colo.-based media company that provides advertising and events across theater circuits.

Virtu holds call

Virtu Financial hosted a conference call at 2 p.m. ET to launch a $100 million add-on first-lien term loan due July 2016 that is talked at Libor plus 450 bps with a 1.25% Libor floor, an original issue discount of 99¾ and 101 soft call protection through February 2014, a market source said.

Proceeds will be used to fund a dividend to shareholders.

Credit Suisse Securities (USA) LLC and Barclays are leading the transaction.

Virtu is a New York-based electronic market maker and financial technology developer.

EP Energy launches

EP Energy came to market with a $750 million term loan B-3 due April 24, 2018 that is talked in the Libor plus 275 bps to 300 bps area with a 0.75% 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/refinance a $750 million term loan B-1 due May 1, 2018 that is priced at Libor plus 400 bps with a 1% Libor floor.

Citigroup Global Markets Inc. is leading the deal that was presented to lenders through a conference call held at 11 a.m. ET.

Commitments are due on Friday, the source added.

EP Energy is a Houston-based oil and natural gas exploration and production company.

CCC comes to market

CCC Information Services held a call to launch a repricing of its roughly $470 million term loan with talk of Libor plus 300 bps to 325 bps with a 1% Libor floor, a par offer price and 101 soft call protection for six months, according to a market source.

By comparison, current pricing on the loan is Libor plus 400 bps with a 1.25% Libor floor.

Lead banks, Goldman Sachs & Co. and J.P. Morgan Securities LLC, are seeking commitments by April 29, the source added.

CCC is a Chicago-based provider of advanced software and workflow tools to the insurance automotive claims and collision repair industries.

Arctic Glacier readies deal

Arctic Glacier set a bank meeting for 10 a.m. ET in New York on Tuesday to launch a $270 million credit facility that consists of a $40 million five-year revolver and a $230 million six-year first-lien covenant-light term loan, according to a market source.

And, ahead of the meeting, price talk on the term loan was announced at Libor plus 500 bps with a 1.25% Libor floor, an original issue discount of 99 and 101 repricing protection for six months.

Credit Suisse Securities (USA) LLC and Jefferies Finance LLC are leading the deal that will be used to refinance existing bank debt.

Also, the Winnipeg-based manufacturer and distributor of packaged ice is getting a new $95 million covenant-light second-lien term loan that has been privately placed to refinance its existing mezzanine debt, the source added.

Dave & Buster's sets talk

Dave & Buster's started going out with talk of Libor plus 325 bps with a 1.25% Libor floor, a par offer price and 101 soft call protection for six months on its $145.9 million term loan B due June 2016 that will launch with a call at 1 p.m. ET on Tuesday, according to a market source.

Proceeds will be used to refinance an existing term loan B due June 2016.

J.P. Morgan Securities LLC is leading the deal for the Dallas-based owner and operator of dining and entertainment venues.

Calpine plans loan

Calpine Construction Finance scheduled a call for 2 p.m. ET on Tuesday to launch a $1,055,000,000 seven-year term loan B, according to a market source.

Goldman Sachs & Co. is the left lead on the deal that will be used to redeem 8% senior secured notes due 2016

Calpine Construction is a subsidiary of Calpine Corp., a Houston-based power producer.

PowerTeam joins calendar

PowerTeam Services will host a bank meeting at 2 p.m. ET in New York on Tuesday to launch a $635 million credit facility that is being led by Credit Suisse Securities (USA) LLC, RBC Capital Markets and GE Capital Markets, according to market sources.

The facility consists of a $60 million revolver, $385 million seven-year covenant-light first-lien term loan with 101 repricing protection for one year, a $50 million covenant-light first-lien delayed-draw term that is available for one year and has 101 repricing protection for one year and a $140 million 71/2-year covenant-light second-lien term loan that has call protection of 103 in year one, 102 in year two and 101 in year three, sources said.

Proceeds will help fund the purchase of the company by Kelso & Co. from CIVC Partners and True North Equity LLC.

PowerTeam is a Plymouth, Mich.-based provider of services to electric and gas utilities.

Ineos on deck

Ineos Group scheduled a call for 10:30 a.m. ET on Tuesday to launch a $1 billion U.S. and euro add-on term loan due 2018 and a repricing of its existing U.S. and euro term loans due 2018, according to a market source.

Current pricing on the U.S. term loan (sized at $2 billion when done last year) is Libor plus 525 bps and current pricing on the euro loan (sized at €500 million when done last year) is Euribor plus 550 bps, with both having a 1.25% floor.

Barclays and Bank of America Merrill Lynch are the joint global coordinators on the deal and bookrunners with Citigroup Global Markets Inc., Goldman Sachs & Co., J.P. Morgan Securities LLC and UBS Securities LLC.

Proceeds from the add-on loan will be used to redeem bonds, the source added.

Ineos is a Switzerland-based manufacturer of petrochemicals, speciality chemicals and oil products.

Learning Care deal emerges

Learning Care Group set a bank meeting for 10 a.m. ET on Tuesday to launch a $260 million credit facility that will be used to refinance existing notes and bank debt, according to a market source.

The facility consists of a $40 million five-year revolver and a $220 million six-year term loan with 101 soft call protection for one year, the source said.

Bank of America Merrill Lynch, BMO Capital Markets and Jefferies Finance LLC are leading the deal.

Learning Care is a Novi, Mich.-based for-profit child-care provider.

Playboy closes

In other news, Playboy Enterprises Inc. completed its $195 million credit facility (B) that includes a $185 million term loan and a $10 million revolver, according to a news release.

Pricing on the facility is Libor plus 600 bps with a 1.25% Libor floor, and the term loan was sold at an original issue discount of 981/2.

During syndication, the term loan was upsized from $175 million, and the Libor floor on both tranches was cut from 1.5%.

The funds raised from the upsizing are being used for general corporate purposes, and the remaining amount repriced an existing revolver and term loan from Libor plus 650 bps with a 1.75% Libor floor.

Jefferies Finance LLC is led the deal for the Chicago-based media and lifestyle company.

Starwood closes on LNR

Starwood Property Trust Inc. closed on its acquisition of LNR Property LLC, a news release said.

For the transaction, Starwood got a new $300 million seven-year first-lien covenant-light term loan (BB+) that is priced at Libor plus 275 bps with a 0.75% Libor floor, and was sold at a discount of 993/4. There is 101 soft call protection for six months.

During syndication, the loan was flexed from Libor plus 325 bps, the discount was revised from 99½ and the call protection was shortened from one year.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc. and J.P. Morgan Securities LLC led the deal.

Starwood is a Greenwich, Conn.-based commercial real estate finance company. LNR is a Miami Beach, Fla.-based real estate investment, finance, management and development firm.

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