Ardagh, WTG, Pelican, Remington break; Berry dips; Polymer, Raven, American Rock up deadlines

By Sara Rosenberg

New York, Dec. 12 - Ardagh Group, WTG Holdings, Pelican Products Inc. and Remington Outdoor Co. all freed up for trading on Thursday, and Berry Plastics Corp.'s term loans headed lower with refinancing news.

Moving to the primary, Polymer Group Inc., Raven Power Finance LLC and American Rock Salt accelerated the commitment deadlines on their loans.

Also, AMR Corp. (American Airlines) set the spread on its loan at the low end of guidance and trimmed the Libor floor, EquiPower Resources Holdings LLC lifted the size of its add-on loan, and RedPrairie (RP Crown Parent LLC) firmed pricing on its term loan at the high end of talk and extended the call protection.

In addition, Sheridan Production Partners modified the discount on its term loan, Sheridan Holdings Inc. tightened the offer price on its first- and second-lien debt, Protection One Inc. modified the discount on its add-on deal, and Advantage Sales and Marketing Inc. upsized its tack-on loan while trimming the discount.

Furthermore, Cyanco Intermediate Corp. revealed offer price talk on its add-on term loan with launch and Sensus USA Inc. emerged with tack-on loan plans.

Ardagh starts trading

Ardagh Group's $500 million six-year covenant-light senior secured term loan B (Ba3/B+) hit the secondary market on Thursday, with levels quoted at par 1/8 bid, 101 1/8 offered on the break and then it moved up to par ¼ bid, 101¼ offered, according to a trader.

Pricing on the loan is Libor plus 325 basis points with a 1% Libor floor and it was sold at an original issue discount of 991/2. There is 101 soft call protection for six months.

The Dublin-based supplier of glass and metal packaging is also getting a €130 million six-year covenant-light senior secured term loan B (Ba3/B+) priced at Euribor plus 325 bps with a 1% floor and sold at 991/2. This tranche has 101 soft call protection for six months as well.

During syndication, pricing on the U.S. term loan was reduced from talk of Libor plus 350 bps to 375 bps, pricing on the euro term loan was lowered from 25 bps of the U.S. tranche, and the discount on both pieces was tightened from 99.

Citigroup Global Markets Inc. is leading the deal that will be used to repay 9¼% first-priority senior secured notes due 2016 issued by Ardagh Glass Finance plc and for general corporate purposes.

Closing on the deal is expected to occur on Tuesday.

WTG hits secondary

WTG Holdings' credit facility started trading too, with the $505 million seven-year covenant-light first-lien term loan (B+) quoted at par bid, par ½ offered and the $75 million eight-year covenant-light second-lien term loan (CCC+) quoted at par bid, 101 offered, according to a market source.

Pricing on the first-lien term loan is Libor plus 375 bps with a 1% Libor floor and it was sold at a discount of 991/2. There is 101 soft call protection for six months.

The second-lien loan is priced at Libor plus 750 bps with a 1% Libor floor and was sold at 991/2. This debt has call protection of 102 in year one and 101 in year two.

During syndication, the first-lien term loan was upsized from $475 million, pricing was cut from Libor plus 425 bps and the discount was changed from 99, and the second-lien loan was downsized from $105 million, the spread was reduced from Libor plus 800 bps and the discount was tigthened from 981/2.

The company's $655 million credit facility also includes a $75 million revolver (B+).

Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc., RBC Capital Markets, UBS Securities LLC and Goldman Sachs Bank USA are leading the deal that will be used to fund the €640 million acquisition of WTG by AEA Investors LP from Siemens.

WTG is a provider of services for treating and processing water and wastewater.

Pelican frees up

Another deal to break was Pelican Products, with its roughly $346 million first-lien term loan due June 2018 quoted at par ½ bid, 101 offered, according to a trader.

Pricing on the term loan is Libor plus 500 bps with a 1.25% Libor floor and it was issued at par. There is 101 soft call protection for six months.

Recently, pricing on the loan was reduced from Libor plus 525 bps.

The company's $376 million credit facility also includes a $30 million revolver.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to refinance existing bank debt, including a first-lien term loan priced at Libor plus 550 bps with a 1.5% Libor floor.

Pelican Products is a Torrance, Calif.-based designer and manufacturer of advanced lighting systems and virtually indestructible cases.

Remington tops OID

Remington Outdoor's $175 million add-on covenant-light term loan (Ba3) began trading too, with levels quoted at par ½ bid, 101 offered, a trader remarked.

Pricing on the loan is Libor plus 425 bps with a 1.25% Libor floor and it was sold at a discount of 991/2, after tightening the other day from 99. There is 101 soft call protection for one year.

Bank of America Merrill Lynch is leading the deal that will be used to fund a share repurchase and add cash to the balance sheet.

Remington is a Madison, N.C.-based designer and manufacturer of firearms, ammunition and related products.

Berry slides

Also in trading, Berry Plastics' term loan C softened to 99 7/8 bid, par 1/8 offered from par bid, par ¼ offered as the company surfaced with plans to take out the debt with a new $1,125,000,000 seven-year first-lien covenant-light term loan, according to a trader.

Also, the company's term loan D dropped to 99½ bid, par offered from 99 7/8 bid, par 1/8 offered after the news was announced, the trader said.

The new seven-year loan, which launched with a call at 2 p.m. ET, is talked at Libor plus 275 bps to 300 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source remarked.

The term loan C that is being repaid is due in April 2015 and priced at Libor plus 200 bps.

Commitments are due on Tuesday, the source said.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc. and Barclays are leading the deal.

Berry Plastics is an Evansville, Ind.-based plastic consumer packaging provider.

Polymer moves deadline

Over in the primary, Polymer Group changed the commitment deadline on its $295 million six-year senior secured covenant-light term loan B (B1/B) to noon ET on Friday from noon ET on Tuesday, and allocations are expected to go out on Friday afternoon, a market source said.

The term loan is talked at Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year.

Citigroup Global Markets Inc. and Barclays are the joint lead arrangers on the deal that is targeted to close on Dec. 20 and joint bookrunners with RBC Capital Markets and HSBC Securities (USA) Inc.

Proceeds will be used to take out the bridge loan that was used to help fund the acquisition of Fiberweb plc.

Other funds for the Fiberweb transaction came from $30 million of equity.

Polymer Group is a Charlotte, N.C.-based producer of engineered materials with a focus on nonwoven products. Fiberweb is an England-based manufacturer of nonwoven fabrics and products for hygiene and cleaning, medical, industrial and technical applications.

Raven shutting early

Raven Power revised the deadline on its $350 million term loan B (BB-) to 2 p.m. ET on Friday from Monday, according to a market source.

The loan is talked at Libor plus 425 bps to 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year.

Deutsche Bank Securities Inc. and Morgan Stanley Senior Funding Inc. are leading the deal that will be used to refinance existing debt, to fund a distribution to shareholders and for general corporate purposes.

Raven Power is an Austin, Texas-based power company.

American Rock accelerated

American Rock Salt moved up the commitment deadline on its $292.5 million covenant-light term B to noon ET on Friday from Monday, according to a market source.

The loan is talked at Libor plus 375 bps to 400 bps with a 1% Libor floor, a par offer price and 101 soft call protection for one year.

RBS Securities Inc. is leading the deal that will be used to reprice an existing term loan from Libor plus 425 bps with a 1.25% Libor floor.

American Rock Salt is a Retsof, N.Y.-based salt mine operator.

AMR updates pricing

AMR finalized the coupon on its $1.9 billion debtor-in-possession/exit financing term loan at Libor plus 300 bps, the tight end of the Libor plus 300 bps to 325 bps talk, and cut the Libor floor to 0.75% from 1%, according to a market source.

The loan still has a par offer price and 101 soft call protection for six months.

Leads, Deutsche Bank Securities Inc., Citigroup Global Markets Inc., Barclays, Goldman Sachs Bank USA, J.P. Morgan Securities LLC and Morgan Stanley Senior Funding Inc., were seeking recommitments by 2 p.m. ET on Thursday.

Proceeds will be used by the Fort Worth, Texas-based airline company to reprice an existing term loan from Libor plus 375 bps with a 1% Libor floor.

EquiPower ups add-on

EquiPower Resources increased its fungible add-on term loan C due Dec. 31, 2019 to $150 million from $125 million, and kept pricing at Libor plus 325 bps with a 1% Libor floor and an original issue discount of 993/4, according to a market source.

The spread and floor on the add-on match the existing term loan C, and all of the debt will get 101 soft call protection for six months.

Commitments were due at 5 p.m. ET on Thursday.

Barclays, Credit Agricole and Mitsubishi UFJ Financial Group are leading the deal that will be used to fund the acquisition of Richland-Stryker assets, finance incremental amounts required for the debt service reserve account, and pay related transaction fees and expenses. The upsizing of the add-on is resulting in a reduction in the amount of sponsor equity.

Net first-lien leverage is 5 times, up from 4.9 times prior to the upsizing, and net total leverage is 5.3 times, up from 5.2 times, the source remarked.

The company is also looking to amend its existing credit facility to allow for the add-on, revise some credit agreement baskets to reflect the acquisition and modify the financial covenant in the revolver.

EquiPower is a Hartford, Conn.-based competitive power generation company.

RedPrairie sets spread

RedPrairie firmed pricing on its $1,439,000,000 first-lien covenant-light term loan (B2) due Dec. 21, 2018 at Libor plus 500 bps, the high end of the Libor plus 475 bps to 500 bps talk, and extended the 101 soft call protection to one year from six months, according to a market source.

The loan still has a 1% Libor floor and a par offer price.

Commitments are due on Monday, accelerated from Tuesday, the source said.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to reprice an existing first-lien term loan from Libor plus 550 bps with a 1.25% Libor floor.

RedPrairie is a Scottsdale, Ariz.-based provider of supply chain software services.

Sheridan tweaks OID

Sheridan Production Partners changed the original issue discount on its $800 million term loan (B2) to 99¾ from 99½ and left pricing at Libor plus 350 bps with a 0.75% Libor floor, according to market sources. The debt still includes 101 soft call protection for six months.

Bank of America Merrill Lynch, UBS Securities LLC and RBC Capital Markets are leading the deal.

Proceeds will be used by the Houston-based oil and gas production company to pay down revolver borrowings.

Sheridan Holdings revised

Sheridan Holdings moved the original issue discount on its $85 million tack-on first-lien covenant-light term loan (B1/B) due June 2018 and $70 million delayed-draw first-lien covenant-light term loan (B1/B) due June 2018, which are being sold as a strip, to 99½ from 99, according to a market source.

Pricing on the first-lien term loans is still Libor plus 350 bps with a 1% Libor floor, the delayed-draw loan still has a ticking fee of half the spread from Jan. 1 to Feb. 15 and the full spread from Feb. 16 to April 1, and the 101 soft call protection for six months was left intact.

Meanwhile, the discount on the company's $400 million second-lien covenant-light term loan (Caa1/CCC+) due December 2021 was also modified to 99½ from 99, the source said.

Second-lien loan pricing is Libor plus 725 bps with a 1% Libor floor and there is call protection of 102 in year one and 101 in year two.

Recently, the second-lien term loan was increased from $365 million, pricing was trimmed from talk of Libor plus 750 bps to 775 bps and the call protection was adjusted from 103 in year one, 102 in year two and 101 in year three.

Sheridan Holdings leads

Credit Suisse Securities (USA) LLC, Barclays and UBS Securities LLC are leading Sheridan Holdings' $555 million of new term loan debt that will be used to pay a dividend, fund an acquisition and refinance existing debt.

Commitments were due at 5 p.m. ET on Thursday.

In connection with this transaction, the company is seeking an amendment to its existing credit facility and is offering term loan lenders a 12.5 bps consent fee.

Sheridan Holdings is a Sunrise, Fla.-based provider of outsourced health care services.

Protection One reworked

Protection One tightened the original issue discount on its $100 million incremental term loan B to 99 7/8 from talk of 99 to 991/2, and kept pricing at Libor plus 325 bps with a 1% Libor floor, according to a market source.

J.P. Morgan Securities LLC leading the deal that will be used to fund growth and for general corporate purposes.

Protection One is a Romeoville, Ill.-based alarm and security services provider.

Advantage Sales sets changes

Advantage Sales and Marketing raised its fungible tack-on first-lien covenant-light term loan (B1) due December 2017 to $325 million from $225 million and moved the original issue discount to 99½ from 99, according to a market source.

The loan is still priced at Libor plus 325 bps with a 1% Libor floor, in line with existing first-lien term loan pricing, and has 101 soft call protection through February 2014.

Recommitments are due at noon ET on Friday, the source remarked.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to purchase the remainder of Waypoint LLC that it does not currently own and for general corporate purposes.

Advantage Sales is an Irvine, Calif.-based sales and marketing agency. Waypoint is a sales and marketing company focused on the foodservice industry.

Cyanco offer price

Cyanco held its call on Thursday, launching its $50 million add-on term loan due April 2020 with an offer price that is guided at 99¾ to par, according to a market source.

The loan is priced at Libor plus 450 bps with a 1% Libor floor.

Deutsche Bank Securities Inc. is leading the deal that will be used to fund a dividend.

In addition, the company is looking to amend its existing credit facility to allow for the dividend payment, reset covenant levels and waive the excess cash flow sweep due in the first quarter of 2014, and lenders are being offered a 5 bps amendment fee.

Cyanco is a Reno, Nev.-based supplier of sodium cyanide to the mining industry.

Sensus on deck

Sensus scheduled a call for 11 a.m. ET on Friday to launch a fungible $50 million tack-on first-lien term loan due May 2017 that is talked at Libor plus 350 bps with a step-down at 4 times leverage, a 1.25% Libor floor and an original issue discount of 991/2, according to a market source.

The spread and floor on the add-on match the existing first-lien term loan, and all of the first-lien debt will get 101 soft call protection for six months, the source said.

Commitments are due at 5 p.m. ET on Monday.

Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are leading the deal that will be used to repay revolver debt and for general corporate purposes.

Sensus is a Raleigh, N.C.-based technology company providing energy and water utility customers with conservation products and services.

Dayco closes

In other news, Dayco LLC completed its $435 million senior secured credit facility that includes a $375 million term loan and $60 million asset-based revolver, a news release said.

The six-year term loan B is priced at Libor plus 425 bps with a step-down to Libor plus 400 bps when total net leverage is 2.5 times. The debt has a 1% Libor floor and 101 soft call protection for one year, and was sold at an original issue discount of 99.

During syndication, the B loan was downsized from $425 million, pricing was increased from talk of Libor plus 350 bps to 375 bps, the step-down was added, the call protection was extended from six months, the maturity was shortened from seven years, the MFN sunset was eliminated and the incremental allowance was reduced to $50 million from $75 million.

Bank of America Merrill Lynch, J.P. Morgan Securities LLC and Credit Suisse Securities (USA) LLC led the deal that was used to refinance existing debt and fund a dividend, the size of which was reduced due to the term loan downsizing.

Dayco is a Troy, Mich.-based manufacturer and distributor of belts, tensioners, hose, pulleys and hydraulics equipment for the automotive, trucking, construction, agricultural, ATV, snowmobile and industrial markets.

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