XPO breaks; Rite Aid rises on acquisition chatter; Computer Sciences Government tweaks deal

By Sara Rosenberg

New York, Oct. 27 – XPO Logistics Inc. reduced the size of its term loan B, widened the spread and original issue discount, and then freed up the debt for trading on Tuesday, and Rite Aid Corp.’s term loans were stronger in response to buzz of a potential acquisition by Walgreens Boots Alliance Inc.

In more happenings, Computer Sciences Government Services Inc. downsized its term loan B and shifted those funds into its pro rata tranches, and accelerated the commitment deadline.

Furthermore, Match Group Inc. released official price talk on its term loan with its bank meeting, and Platform Specialty Products Corp. and PolyOne Corp. and New Albertson’s Inc. set launches for this week.

XPO Logistics cut its six-year senior secured covenant-light term loan B to $1.6 billion from $1.75 billion, raised pricing to Libor plus 450 basis points from talk of Libor plus 400 bps to 425 bps and changed the original issue discount to 98 from 98.5, according to a market source, who said the debt has MFN for life.

The 1% Libor floor and 101 soft call protection for one year included in the term loan B were unchanged.

With final terms in place, the B loan hit the secondary market on Tuesday, with levels quoted at 98¾ bid, 99¼ offered on the break. It was seen shortly after at 98½ bid, 99 offered, a trader said.

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