Jacobs Entertainment frees to trade; revisions announced for RCS Capital, Lee Enterprises

By Sara Rosenberg

New York, March 20 - Jacobs Entertainment Inc.'s term loan made its way into the secondary market on Thursday, with levels seen above the issue price.

Meanwhile, in the primary market, RCS Capital Corp. increased the size of its first-lien term loan and updated spreads and offer prices on both its first- and second-lien tranches, and Lee Enterprises Inc. upsized and lowered the Libor floor on its first-lien term loan and downsized its second-lien loan.

Also, Renaissance Learning Inc., Bauer Performance Sports Ltd., Boyd Corp., Learfield Communications Inc. and WideOpenWest Finance LLC disclosed price talk on their deals with launch, and Telx Group, OCI Beaumont LLC and Visteon Corp. came out with new loan plans.

Jacobs tops par

Jacobs Entertainment's $217 million first-lien term loan due October 2018 began trading on Thursday, with levels quoted at par ¼ bid, par ¾ offered, according to a trader.

The term loan is priced at Libor plus 425 basis points with a 1% Libor floor and was issued at par. There is 101 soft call protection for one year.

Credit Suisse Securities (USA) LLC is leading the deal, which will be used to reprice an existing term loan from Libor plus 500 bps with a 1.25% Libor floor.

Jacobs Entertainment is a Golden, Colo.-based owner and operator of gaming properties.

RCS tweaks deal

Over in the primary, RCS Capital lifted its five-year first-lien term loan (B2/B+) to $575 million from $550 million, firmed pricing at Libor plus 550 bps, the high end of the Libor plus 500 bps to 550 bps talk, and set the original issue discount at 99, the low end of the 98½ to 99 guidance, according to a market source.

Additionally, amortization on the first-lien loan was sweetened to 5% in year one, 10% in years two and three and 15% in years four and five, from just 5% per annum, the source said, while the 1% Libor floor and soft call protection of 102 in year one and 101 in year two were unchanged.

As for the $150 million seven-year second-lien term loan (Caa1/B-), the spread was set at Libor plus 950 bps, the low end of the Libor plus 950 bps to 975 bps talk, and the discount was moved to 98½ from 98, the source continued, adding that the debt still has a 1% Libor floor and is non-callable for two years, then at 103 in year three and 101 in year four.

Barclays and Bank of America Merrill Lynch are leading RCS' now $750 million senior secured credit facility, which also includes a $25 million three-year revolver (B2/B+).

Recommitments were due by 5 p.m. ET on Thursday.

Proceeds from the credit facility, equity from Luxor Capital Group and cash on hand will be used to fund the $1.15 billion acquisition of Cetera Financial Group from Lightyear Capital and to refinance Cetera debt. The additional funds raised from the term loan upsizing will add cash to the balance sheet, the source added.

Closing is expected in the second quarter, subject to Finra approval and other customary conditions.

RCS is a New York-based holding company that operates and grows businesses focused on the financial services industry. Cetera is an El Segundo, Calif.-based financial services holding company that provides independent broker-dealer services and investment advisory services.

Lee Enterprises restructures

Lee Enterprises increased its first-lien term loan to $250 million from $200 million while reducing its already placed second-lien term loan to $150 million from $200 million, a market source said.

Also, the Libor floor on the first-lien loan was cut to 1% from 1.25%, but the Libor plus 625 bps pricing, original issue discount of 98 and 101 soft call protection for two years were unchanged, the source said.

Recommitments are due at 11 a.m. ET on Friday.

The company is also getting a $40 million revolver, which is expected to be undrawn at close.

J.P. Morgan Securities LLC and Deutsche Bank Securities Inc. are leading the deal, which will be used with $400 million of senior secured notes to refinance existing debt.

Lee Enterprises is a Davenport, Iowa-based provider of local news, information and advertising.

Renaissance reveals pricing

Renaissance Learning held its bank meeting at 2 p.m. ET on Thursday to launch its new credit facility, and with the event, price talk on the first- and second-lien term loans was announced, according to market sources.

The $475 million seven-year first-lien covenant-light term loan is talked at Libor plus 350 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months, and the $230 million eight-year second-lien covenant-light term loan is talked at Libor plus 675 bps to 700 bps with a 1% Libor floor, a discount of 99 and call protection of 102 in year one and 101 in year two, sources said.

The company's $745 million credit facility also includes a $40 million five-year revolver.

Commitments are due at noon ET on March 31, sources added.

Renaissance being acquired

Proceeds from Renaissance Learning's new credit facility will be used with equity to fund its $1.1 billion buyout by Hellman & Friedman from the Permira funds and to refinance existing debt.

Bank of America Merrill Lynch, Credit Suisse and RBC Capital Markets are leading the deal.

Closing is expected in the second quarter, subject to the waiting period under the HSR Act and customary conditions.

Renaissance Learning is a Wisconsin Rapids, Wis.-based provider of technology-based school improvement and student assessment programs for K-12 schools.

Bauer holds meeting

Bauer Performance Sports released talk on its $450 million senior secured term loan B (B2/B+) that launched with a meeting during the session.

The term loan is talked at Libor plus 375 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a source said.

The company's $650 million credit facility also includes a $200 million asset-based revolver.

Bank of America Merrill Lynch, JPMorgan, RBC and Morgan Stanley Senior Funding Inc. are leading the deal, which will be used to help fund the $330 million acquisition of the Easton Baseball/Softball business from Easton-Bell Sports and to refinance some existing debt.

Closing is subject to regulatory approvals and other customary conditions.

Bauer Performance is a Canada-based developer and manufacturer of sports equipment and apparel.

Boyd talk emerges

Boyd came out with talk of Libor plus 375 bps to 400 bps with a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months on its $275 million covenant-light term loan that launched with a morning bank meeting, a market source said.

The company's $310 million credit facility also includes a $35 million revolver.

Commitments are due on April 4, the source added.

BNP Paribas Securities Corp. is leading the deal, which will be used to refinance existing debt, fund an acquisition and pay a dividend.

Boyd is a Modesto, Calif.-based manufacturer and supplier of custom fabricated sealing and energy management components for OEMs.

Learfield sets guidance

Learfield Communications held its call in the morning, launching its $280 million covenant-light first-lien term loan due October 2020 with talk of Libor plus 325 bps to 350 bps with a 1% Libor floor and a par offer price, according to a market source.

As previously reported, the term loan has 101 soft call protection for six months.

Commitments are due on Wednesday, the source said.

Deutsche Bank Securities Inc. is leading the deal, which will be used to reprice an existing first-lien term loan from Libor plus 400 bps with a 1% Libor floor.

Learfield is a Jefferson City, Mo.-based college sports multimedia rights marketing company.

WideOpenWest launches

WideOpenWest launched with a call $1,973,000,000 of term loans led by JPMorgan, according to a market source.

The debt consists of a $1,549,000,000 term loan B due April 2019 talked at Libor plus 300 bps to 325 bps with a 0.75% Libor floor and a $424 million term loan B-2 due July 2017 talked at Libor plus 275 bps to 300 bps with no Libor floor, the source said.

Both term loans have a par offer price and 101 soft call protection for six months.

Proceeds will be used to reprice an existing term loan B from Libor plus 375 bps with a 1% Libor floor and an existing term loan B-1 from Libor plus 300 bps with a 0.75% Libor floor.

WideOpenWest is a Denver-based provider of residential and commercial high-speed internet, cable television and telephone services.

Telx joins calendar

Telx Group set a bank meeting for 1:30 p.m. ET in New York on Monday to launch a $770 million senior secured credit facility that consists of a $110 million revolver, a $475 million first-lien term loan and a $185 million second-lien term loan, according to a market source.

Morgan Stanley, Deutsche Bank and TD Securities (USA) LLC are the joint bookrunners on the deal and joint lead arrangers with RBC.

Telx is a New York-based provider of interconnection and colocation facilities.

OCI readies loan

OCI Beaumont plans to hold a call on Monday to launch a repricing of its $399 million term loan B-2 due Aug. 20, 2019 from Libor plus 500 bps with a 1.25% Libor floor, according to a market source.

Bank of America Merrill Lynch is leading the deal, which is expected to close in April.

OCI Beaumont is an ammonia and methanol production complex in Beaumont, Texas.

Visteon readies launch

Visteon scheduled a bank meeting for 10:30 a.m. ET in New York on Monday for prospective loan lenders, according to a market source.

Citigroup Global Markets Inc. is leading the deal.

No further details on the transaction are currently available, the source said.

Visteon is a Van Buren Township, Mich.-based automotive supplier.

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