Revel slides with monthly numbers; Leslie's Poolmart, TriMas break above discount prices

By Sara Rosenberg

New York, Oct. 10 - Revel Entertainment Group LLC's term loan weakened in the secondary market on Wednesday following the release of monthly revenue numbers that showed a decline from the prior month, and Leslie's Poolmart Inc. and TriMas Corp. freed up for trading.

Over in the primary, Brand Energy & Infrastructure Services Inc. reworked its first-lien term loan to create a shorter-dated tranche that has lower price talk than the longer-dated tranche, and First American Payment Systems LP lowered the coupon on its first-lien term loan.

Also, Centerplate Inc. upsized its term loan while tightening pricing and original issue discount, and Southern Graphics Inc. (SGS International Inc.) reduced spread and discount on its term debt.

In addition, SNL Financial, OSI Restaurant Partners LLC, Insight Global, Quintiles Transnational Corp. and Ipreo Holdings LLC release price talk as the deals were presented to lenders during the session.

Furthermore, PQ Corp., nTelos Inc., Buffalo Gulf Coast Terminals LLC, Endurance International Group (EIG Investors Corp.), Audio Visual Services Corp. (PSAV Presentation Services) and IMS Health Inc. surfaced with deal plans.

Revel retreats

Revel Entertainment's term loan B took a noticeable hit in trading on Wednesday as the company released disappointing September revenue results, according to a trader.

The term loan B was quoted at 73½ bid, 74½ offered, down from 76¼ bid, 77¼ offered, the trader said.

For the month of September, the company had total revenue of about $16.88 million and year-to-date revenue of around $96.94 million, according to the New Jersey Division of Gaming Enforcement.

By comparison, the company had total revenue of roughly $20.02 million in August.

Revel, a gaming and entertainment company in Atlantic City, N.J., commenced operations on March 28 and opened to the public on April 2.

Leslie's hits secondary

Leslie's Poolmart's $625 million of new term loans (B2/B) broke for trading late in the day, with levels quoted at 99¾ bid, par ¼ offered, according to a trader.

Pricing on the term loans is Libor plus 400 basis points with step-downs to Libor plus 375 bps when net total leverage is below 5¾ times and to Libor plus 350 bps when net total leverage is below 5 times. There is a 1.25% Libor floor, and the debt was sold at an original issue discount of 991/2.

During syndication, pricing was reduced from Libor plus 425 bps, the step-downs were added and the discount was revised from 99.

The debt consists of a $575 million term loan B and a $50 million delayed-draw term loan.

Bank of America Merrill Lynch, Wells Fargo Securities LLC, Barclays, Goldman Sachs & Co. and U.S. Bank are leading the deal that will be used to refinance existing debt and fund a dividend.

Leslie's Poolmart is a Phoenix-based retailer of swimming pool supplies and related products.

TriMas frees up

TriMas' credit facility also started trading, with the $200 million seven-year term loan B quoted at par bid, par ½ offered, according to a trader.

Pricing on the B loan is Libor plus 275 bps with a 1% Libor floor, and it was sold at an original issue discount of 993/4. There is 101 soft call protection for one year.

Last week, the term B was downsized from $250 million, pricing was reduced from Libor plus 300 bps and the discount was tightened from 991/2.

The company's $650 million senior secured credit facility (Ba3/BB) also includes a $200 million five-year term loan A that was upsized from $150 million and a $250 million five-year revolver. Pricing on these tranches is Libor plus 200 bps, with the revolver having a 35 bps unused fee.

J.P. Morgan Securities LLC and Bank of America Merrill Lynch are leading the deal that will refinance existing bank debt and second-lien notes, and be used for general corporate purposes.

TriMas is a Bloomfield Hills, Mich.-based manufacturer of engineered products.

Brand Energy restructures

Moving to the primary, Brand Energy revised its $700 million first-lien term loan B (B2/B), carving $150 million out for a four-year maturity and leaving $550 million with a six-year maturity, according to a market source.

The new four-year tranche is talked at Libor plus 425 bps to 450 bps with a 1.25% floor and original issue discount of 99 and 101 soft call protection for one year, the source said.

As for the six-year loan, it is still talked at Libor plus 475 bps to 500 bps with a 1.25% floor, a discount of 99 and 101 soft call protection for one year, the source remarked.

The $1.15 billion deal also includes a $75 million five-year revolver (B2/B), a $50 million six-year funded letter-of-credit facility (B2/BB-) and a $325 million seven-year second-lien term loan.

The second-lien loan is talked at Libor plus 825 bps to 850 bps with a 1.25% Libor floor and an original issue discount of 98 to 99 and has call protection of 103 in year one, 102 in year two and 101 in year three.

Brand refinancing debt

Proceeds from Brand Energy's credit facility will be used to repay existing debt. Initially, the company had only launched the first-lien tranches for the purpose of refinancing its first-lien debt. However, shortly after the first-lien bank meeting, the decision was made to bring the second-lien loan to market for a larger scale refinancing.

Commitments are due at 5 p.m. ET on Friday. The initial deadline had been Thursday, but it was revised with the new first-lien structural changes, the source continued.

UBS, Goldman Sachs & Co. and Morgan Stanley Senior Funding Inc. are leading the first-lien deal, and UBS is leading the second-lien deal.

Brand Energy is an Edmonton, Alta.-based provider of specialty multi-craft services to the North American downstream energy infrastructure market.

First American cuts spread

First American Payment Systems trimmed pricing on its $250 million six-year first-lien term loan (B1) to Libor plus 450 bps from Libor plus 500 bps, while leaving the 1.25% Libor floor, original issue discount of 99 and 101 repricing protection for one year intact, according to a market source.

Recommitments from first-lien lenders were due at 5 p.m. ET on Wednesday.

The $405 million facility also includes a $30 million five-year revolver (B1) and a $125 million 61/2-year second-lien term loan (Caa1) that is pricing in line with talk at Libor plus 950 bps with a 1.25% floor, a discount of 98 and call protection of 103 in year one, 102 in year two and 101 in year three.

Credit Suisse Securities (USA) LLC and Goldman Sachs & Co. are leading the deal that will be used to refinance existing debt and fund a dividend.

First American Payment is a Fort Worth, Texas-based provider of payment processing services.

Centerplate tweaks deal

Centerplate upsized its term loan to $277 million from $267 million, but, despite this move there is no change in the amount of funded senior debt at close, according to a market source.

Also, pricing on the term loan and on a $75 million revolver was set at Libor plus 450 bps with a step-down to Libor plus 425 bps if corporate credit ratings are B2/B with stable outlooks. There is a 1.25% Libor floor and an original issue discount of 991/2, the source said.

By comparison, at launch, the credit facility was talked at Libor plus 500 bps with no step-down, a 1.25% Libor floor and a discount of 99.

GE Capital Markets, PNC Capital Markets LLC and Rabo Securities USA Inc. are leading the now $352 million credit facility (B2/B+) that will be used to help fund the purchase of the company by Olympus Partners from Kohlberg & Co. LLC.

Centerplate is a Stamford, Conn.-based provider of food and beverage concessions, high-end catering and merchandise services in sports facilities, convention centers and other entertainment facilities.

SGS flexes lower

Continuing on the topic of changes, Southern Graphics revised the coupon on its $400 million seven-year first-lien covenant-light term loan to Libor plus 375 bps from Libor plus 425 bps and the original issue discount to 99½ from 99, a market source said.

Also, the company added a step-down to Libor plus 350 bps if net first-lien secured leverage is less than 2.8 times, the source continued.

The loan still has a 1.25% Libor floor and 101 repricing protection for one year.

Originally, the term loan was sized at $375 million, but last week it was upsized as the company opted to get a $35 million delayed-draw tranche and only fund $365 million.

The ticking fee on the delayed-draw loan is half the spread after 30 days and the full spread after 60 days.

SGS allocating shortly

Southern Graphic is targeting allocating its credit facility on Thursday as the recommitment deadline for the revised deal passed at 5 p.m. ET on Wednesday, the source remarked.

Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Bank of America Merrill Lynch and Goldman Sachs & Co. are the lead banks on $475 million facility (B1/B), which also includes a $75 million five-year revolver.

Proceeds will be used to help fund the acquisition of the company by Onex Corp. from Court Square Capital Partners for $813 million and the delayed-draw loan will be for acquisition financing.

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

Southern Graphics is a Louisville, Ky.-based provider of design-to-print graphics services to the consumer products packaging industry.

SNL talk emerges

In more primary happenings, SNL Financial revealed talk of Libor plus 475 bps with a 1.25% Libor floor and an original issue discount of 99 on its $260 million six-year covenant-light first-lien term loan that launched with a conference call on Wednesday, according to a market source.

As previously reported, the loan has 101 repricing protection for one year.

Credit Suisse Securities (USA) LLC is leading the $290 million credit facility (B2/B), which also includes a $30 million five-year revolver.

Commitments are due on Oct. 17, the source said.

SNL, a financial information provider, will use the new credit facility to refinance existing debt and fund a dividend.

OSI Restaurant launches

OSI Restaurant held its bank meeting, launching its $1 billion seven-year term loan B at Libor plus 375 bps to 400 bps with a 1.25% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

The company's $1,225,000,000 credit facility (B1/BB) also includes a $225 million revolver.

Commitments are due on Oct. 19, the source added.

Deutsche Bank Securities Inc., Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., J.P. Morgan Securities LLC and Goldman Sachs & Co. are leading the deal that will be used to refinance existing debt, including term loans.

OSI Restaurant is a Tampa, Fla.-based casual dining restaurant company.

Insight details surface

Insight Global launched its $300 million seven-year first-lien term loan (Ba3/B) at Libor plus 475 bps and its $130 million eight-year second-lien term loan (B3/CCC+) at Libor plus 900 bps, with both tranches having a 1.25% Libor floor and an original issue discount of 99, according to a market source.

The first-lien loan has 101 repricing protection for one year, and the second-lien loan has call protection of 103 in year one, 102 in year two and 101 in year three.

Also included in the $490 million credit facility is a $60 million five-year revolver (Ba3/B).

Credit Suisse Securities (USA) LLC, Bank of America Merrill Lynch and RBC Capital Markets LLC are leading the deal that will fund the buyout of the company by Ares Management.

Insight Global is an Atlanta-based temporary staffing firm for the information technology sector.

Quintiles guidance

Quintiles launched in the afternoon its $175 million non-fungible term loan B-1 loan due June 2018 with talk of Libor plus 325 bps to 350 bps with a 1.25% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

The company's $250 million of new bank debt (B1/BB-) also includes a $75 million incremental revolver due June 2017.

J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc., Barclays, Citigroup Global Markets Inc. and Wells Fargo Securities LLC are leading the deal that will be used to pay a distribution to shareholders of Quintiles Transnational Holdings Inc.

Quintiles Transnational is a Durham, N.C.-based contract research organization.

Ipreo reveals pricing

Ipreo held a call to launch a repricing of its roughly $150 million term loan and a $20 million add-on term loan, and talk on all of the term loan debt (B1) is Libor plus 525 bps with a 1.25% Libor floor, a market source said.

The add-on is offered at an original issue discount of 99, while the repriced loan is offered at par.

Current pricing on the existing term loan is Libor plus 650 bps with a 1.5% Libor floor.

Lead bank, RBC Capital Markets LLC, is seeking commitments by Oct. 24.

Proceeds from the add-on loan will be used to finance an undisclosed strategic acquisition.

Ipreo is a New York-based capital markets and corporate analytics firm.

PQ coming soon

PQ joined this week's calendar, setting a bank meeting for 1 p.m. ET in New York on Thursday to launch a $1.25 billion 41/2-year credit facility, according to a market source.

The facility consists of a $150 million revolver and a $1.1 billion first-lien term loan that has 101 soft call protection for one year, the source said. Price talk is not yet available.

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

PQ Corporation is a Malvern, Pa.-based producer of specialty inorganic performance chemicals and catalysts.

nTelos readies loan

nTelos will hold a call at 11 a.m. ET on Thursday to launch a $475 million seven-year term loan B that will refinance an existing term loan, according to sources.

J.P. Morgan Securities LLC, UBS Securities LLC and Deutsche Bank Securities Inc. are the lead banks on the deal.

nTelos is a Waynesboro, Va., provider of wireless and wireline communications services.

Buffalo Gulf repricing

Buffalo Gulf Coast Terminals scheduled a call on Thursday to launch a repricing of its $275 million secured term loan (Ba1/BB+) that has a current rate of Libor plus 600 bps with a 1.5% Libor floor, according to a market source.

Barclays is the lead bank on the deal.

With the repricing, existing lenders will get paid out at 102 due to current call protection.

Buffalo Gulf Coast is the owner of Houston Fuel Oil Terminal Co. LLC, a provider of crude and residual fuel oil storage in the Gulf of Mexico.

Endurance sets call

Endurance International will hold a conference call at 12:30 p.m. ET on Thursday to launch $1.115 billion in new covenant-light term loans that will be used to refinance existing debt and fund a dividend, according to a market source.

The debt consists of an $800 million seven-year first-lien term loan with 101 repricing protection for one year and a $315 million 71/2-year second-lien term loan with call protection of 103 in year one, 102 in year two and 101 in year three, the source said.

Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc. and Goldman Sachs & Co. are the lead banks on the deal.

Endurance is a Burlington, Mass.-based provider of web hosting and online services.

Audio Visual loan plans

Audio Visual Services scheduled a bank meeting for Friday to launch a $495 million credit facility that consists of a $40 million five-year revolver, a $340 million six-year first-lien term loan and a $115 million 61/2-year second-lien term loan, according to a market source.

Barclays, Macquarie Capital and Nomura are leading the deal.

Proceeds will be used to help fund Kelso & Co.'s acquisition of Swank Audio Visuals LLC and merger with Audio Visual, a current Kelso portfolio company, and to refinance existing debt.

Long Beach, Calif.-based Audio Visual Services and St. Louis-based Swank are providers of audiovisual and event technology services.

IMS getting add-on

IMS Health set a Friday morning call to launch a $750 million add-on term loan (Ba3), according to sources.

Bank of America Merrill Lynch and Goldman Sachs & Co. are leading the deal that will be used to fund a dividend.

IMS is a Parsippany, N.J.-based provider of information, services and technology for the healthcare industry.

Deltek closes

In other news, Thoma Bravo LLC completed its purchase of Deltek Inc., a Herndon, Va.-based provider of enterprise software and information for professional services firms and government contractors, for $13 per share, or about $1.1 billion, according to a news release.

For the buyout, Deltek got a new $680 million deal that consists of a $30 million revolver, a $450 million first-lien term loan (B1/B+) and a $200 million second-lien term loan (Caa2/CCC+).

Pricing on the first-lien term loan, which was upsized from $425 million, is Libor plus 475 bps with a 1.25% Libor floor, and it was sold at an original issue discount of 99. There is 101 soft call protection for one year.

Meanwhile, the second-lien loan, which was downsized from $225 million, is priced at Libor plus 875 bps with a 1.25% Libor floor, and was sold at a discount of 981/2. The debt has call protection of 103 in year one, 102 in year two and 101 in year three.

Jefferies Finance LLC and RBC Capital Markets led the deal.

Leap Wireless wraps

Leap Wireless International Inc. closed on Wednesday on its $400 million term loan (Ba2/B+), according to an 8-K filed with the Securities and Exchange Commission.

Pricing on the loan is Libor plus 350 bps with a 1.25% Libor floor, and it was sold at an original issue discount of 99. There is 101 soft call protection for one year.

During syndication, the spread on the loan was reduced from talk of Libor plus 400 bps to 425 bps.

Deutsche Bank Securities Inc., UBS Securities LLC and Bank of America Merrill Lynch led the deal that was used to refinance $300 million of outstanding 10% senior notes due 2015 and for general corporate purposes.

Leap is a San Diego-based provider of digital wireless services.

RadNet completes deal

RadNet Inc. closed on its $451.25 million senior secured credit facility (Ba3/B+) that consists of a $101.25 million five-year revolver and a $350 million six-year term loan B

Pricing on the term loan B is Libor plus 425 bps with a 1.25% Libor floor, and it was sold at an original issue discount of 99. There is 101 soft call protection for one year.

During syndication, the B loan was upsized from $330 million and pricing firmed at the tight end of the Libor plus 425 bps to 450 bps talk.

Barclays, GE Capital Markets, RBC Capital Markets LLC and Deutsche Bank Securities Inc. led the deal that was used to refinance an existing senior secured credit facility.

RadNet is a Los Angeles-based owner and operator of fixed-site diagnostic imaging centers.

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