BJ’s Wholesale, V.Group, ProQuest, Terex, SolarWinds, Calpine, Brown Jordan free to trade

By Sara Rosenberg

New York, Jan. 27 – BJ’s Wholesale Club Inc.’s term loans emerged in the secondary market on Friday, with both the first- and second-lien tranches quoted above their original issue discounts, and V.Group, ProQuest LLC and Terex Corp. broke too.

Also, SolarWinds Inc. set pricing on its term loan at the low end of talk, Calpine Corp. reduced the spread on its term loan B-8 and finalized the original issue discount at the wide end of guidance, and Brown Jordan International Inc. upsized its term loan and firmed pricing at the low end of talk, and then these deals freed up for trading as well.

In more happenings, JBS USA Lux SA upsized its term loan B and lowered pricing, TKC Holdings Inc. trimmed spread talk on its first-and second-lien term loans, and Pinnacle Foods Finance LLC tightened the spread and issue price on its term loan.

Additionally, Compuware Corp. increased the size of its add-on term loan B-2, Plaskolite LLC revised the original issue discount on its term loan, and Power Products LLC moved up the commitment deadline on its first-lien term loan.

Furthermore, Go Daddy Operating Co. LLC, Leslie’s Poolmart Inc., UPC Financing Partnership, Mediware Information Systems Inc. and WME IMG LLC released price talk with launch, and Peabody Energy Corp., ADT Corp., Greenway Medical, Sesac Holdings, Freedom Mortgage Corp. and Give & Go Prepared Foods Corp. joined the near-term primary calendar.

BJ’s Wholesale breaks

BJ’s Wholesale Club’s term loans began trading on Friday, with the $1,925,000,000 seven-year covenant-light term loan B quoted by one source at par ½ bid, 101 offered and the $625 million eight-year covenant-light second-lien term loan quoted at par ½ bid, 101½ offered. By late day, another source had the first-lien term loan quoted at wrapped around 101.

Pricing on the first-lien term loan is Libor plus 375 bps with a 1% Libor floor, and it was sold at an original issue discount of 99.75. The debt has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 750 bps with a 1% Libor floor and was issued at a discount of 99. This tranche has hard call protection of 102 in year one and 101 in year two.

On Thursday, the first-lien term loan was upsized from $1.85 billion, pricing was trimmed from Libor plus 400 bps and the discount was changed from 99.5, and the second-lien term loan was upsized from $600 million, the spread was reduced from Libor plus 800 bps and the discount was modified from 98.

Nomura and Jefferies Finance LLC are leading the deal that will be used to refinance existing debt and fund a dividend, with Nomura left on the first-lien and Jefferies left on the second-lien.

BJ’s is a Westborough, Mass.-based operator of warehouse clubs.

V.Group tops par

V.Group’s credit facility emerged in the secondary market, with the $515 million seven-year senior secured first-lien term loan B (B1/B) seen at par ½ bid, 101 offered, according to a market source.

Pricing on the first-lien term loan is Libor plus 300 bps with a step-down to Libor plus 275 bps when either net first-lien leverage is below 4.25 times or post an initial public offering. The debt has a 1% Libor floor and 101 soft call protection for six months and was issued at par.

On Thursday, the first-lien term loan was upsized from $495 million as the company’s privately placed second-lien term loan was downsized to $172.5 million from $192.5 million, pricing was cut from talk of Libor plus 325 bps to 350 bps, the step-down was added and the issue price was revised from 99.5.

The company’s credit facility also includes a $57.5 million revolver (B1/B).

Goldman Sachs Bank USA, HSBC Securities (USA) Inc., Citigroup Global Markets Inc., RBS and RBC Capital Markets LLC are leading the deal that will be used to help fund the acquisition of a controlling stake in the company by Advent International from Omers Private Equity.

V.Group is a London-based marine and offshore vessel management and support services provider.

ProQuest hits secondary

ProQuest’s $718 million term loan B due Oct. 24, 2021 started trading as well, with levels quoted at par 3/8 bid, par 7/8 offered, according to a market source.

Pricing on the loan is Libor plus 425 bps with a 1% Libor floor, and it was issued at par. The loan has 101 soft call protection for six months.

Goldman Sachs Bank USA, Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC and RBC Capital Markets are leading the deal that will reprice an existing term loan down from Libor plus 475 bps with a 1% Libor floor.

Closing was targeted for Friday.

ProQuest is an Ann Arbor, Mich.-based provider of digital content and Software as a Service solutions primarily for the academic community.

Terex starts trading

Terex saw its $400 million seven-year covenant-light first-lien term loan (BBB-) free up, with levels quoted at par bid, par ½ offered, a source said.

Pricing on the term loan is Libor plus 250 bps with a 0.75% Libor floor, and it was sold at an original issue discount of 99.75. The debt has 101 soft call protection for six months.

On Thursday, pricing on the loan was reduced from Libor plus 275 bps and the discount was tightened from 99.5.

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

Terex is a Westport, Conn.-based lifting and material handling solutions company.

SolarWinds finalizes, breaks

SolarWinds firmed pricing on its $1,695,000,000 first-lien term loan due Feb. 5, 2023 at Libor plus 350 bps, the tight end of the Libor plus 350 bps to 375 bps talk, and left the 1% Libor floor, par issue price and 101 soft call protection for six months unchanged, according to a market source.

With final terms in place, the term loan broke for trading, and levels were quoted at par ¼ bid, par ¾ offered, another source added.

Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC, Macquarie Capital (USA) Inc. and Nomura are leading the deal that will be used to reprice an existing term loan down from Libor plus 450 bps with a 1% Libor floor.

Closing is expected on Feb. 21, the source added.

SolarWinds is an Austin, Texas-based provider of IT network and systems infrastructure management software.

Calpine updated, trades

Calpine lowered pricing on its $400 million senior secured covenant-light term loan B-8 due December 2019 to Libor plus 175 bps from Libor plus 200 bps and set the original issue discount at 99, the wide end of the 99 to 99.5 talk, a market source said.

The loan still has no Libor floor and 101 soft call protection for six months.

Recommitments were due at noon ET on Friday and by late afternoon the loan freed to trade with levels quoted at par ¼ bid, par ¾ offered, a trader added.

Morgan Stanley Senior Funding Inc., MUFG, Citigroup Global Markets Inc., Natixis, RBC Capital Markets, UBS Investment Bank and Goldman Sachs Bank USA are leading the deal that will be used to refinance the company’s 7 7/8% senior secured notes due 2023.

Closing is expected during the week of Jan. 30.

Calpine is a Houston-based generator of electricity from natural gas and geothermal resources.

Brown Jordan revised

Brown Jordan raised its six-year first-lien term loan B (B2/B) to $165 million from $160 million and firmed pricing at Libor plus 575 bps, the low end of the Libor plus 575 bps to 600 bps talk, a source remarked.

In addition, the incremental free and clear basket was reduced to $30 million from $40 million, the unlimited ratio investments basket was changed to up to 2.75 times from 3 times and the unlimited restricted payments ratio basket was revised to up to 2.50 times from 2.75 times, the source said.

The term loan B still has a 1% Libor floor, an original issue discount of 99, 101 soft call protection for six months and a total net leverage covenant.

Brown Jordan frees up

After terms finalized, Brown Jordan’s term loan made its way into the secondary market, and levels were seen at 99½ bid, another source added.

The company’s now $200 million credit facility also includes a $35 million ABL revolver.

Goldman Sachs and Societe Generale are leading the deal that is expected to close on Tuesday and will be used to help fund the buyout of the company by Littlejohn & Co. LLC.

Brown Jordan is a St. Augustine, Fla.-based manufacturer of indoor and outdoor furniture.

Ravago holds steady

Also in trading, Ravago Holdings America Inc.’s $323 million covenant-light term loan B was quoted at par ¼ bid, par ¾ offered, in line with where it broke for trading late Thursday, a market source remarked.

The term loan is priced at Libor plus 325 bps with no floor, and was issued at par. There is 101 soft call protection for six months.

Wells Fargo Securities LLC is leading the deal that will reprice an existing term loan down from Libor plus 400 bps with a 1% Libor floor.

Ravago is a provider of distribution, resale, compounding and recycling services for plastic and elastomeric raw materials markets.

Caliber stays firm

Caliber Collision’s $750 million seven-year first-lien term loan (B1/B+) and $75 million delayed-draw seven-year first-lien term loan (B1/B+) were quoted at par ¼ bid, 101¼ offered and its $250 million eight-year second-lien term loan (Caa1/CCC+) was quoted at par ¼ bid, which is unchanged from where the debt freed up on Thursday, a trader said.

Pricing on the first-lien term loan debt is Libor plus 300 bps with a 1% Libor floor, and it was sold at an original issue discount of 99.75. There is 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 725 bps with a 1% Libor floor, and was issued at 99.5. This tranche has call protection of 102 in year one and 101 in year two.

During syndication, the delayed-draw loan was upsized from $50 million, pricing on the first-lien term debt was revised from Libor plus 350 bps, and the discount was changed from 99.5, and pricing on the second-lien loan was lowered from talk of Libor plus 775 bps to 800 bps and the discount was modified from 99.

Caliber getting revolver

In addition to the first-and second-lien term loans, Caliber Collision’s $1.19 billion credit facility includes a $115 million revolver (B1/B+).

Bank of America Merrill Lynch, RBC Capital Markets, SunTrust Robinson Humphrey Inc., Golub Capital and Antares Capital are leading the deal.

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

Caliber Collision is a Lewisville, Texas-based operator of automotive collision repair centers.

JBS upsizes, flexes

Back in the primary market, JBS USA lifted its term loan B due Oct. 30, 2022 to $2.8 billion from $2.09 billion and trimmed pricing to Libor plus 250 bps from Libor plus 275 bps, while leaving the 0.75% Libor floor, par issue price and 101 soft call protection for six months unchanged, according to a market source.

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

Barclays is leading the deal that will be used to refinance existing term loan B debt due in 2018, 2020 and 2022 into one term loan B tranche, and, due to the upsizing, for general corporate purposes, the source added.

JBS is a Greeley, Colo.-based animal protein products processing company.

TKC reworks talk

TKC Holdings cut pricing on its $1.1 billion six-year first-lien term loan to Libor plus 375 bps from revised talk of Libor plus 400 bps and initial talk of Libor plus 400 bps to 425 bps, and left the 1% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months intact, according to a market source.

Also, the company lowered talk on its $260 million seven-year second-lien term loan to a range of Libor plus 750 bps to 775 bps from revised talk of Libor plus 800 bps and initial talk of Libor plus 825 bps to 850 bps, the source said. This tranche still has a 1% Libor floor, a discount of 98.5 and call protection of 102 in year one and 101 in year two.

On Thursday, the first-lien term loan was upsized from $1.05 billion and the discount was tightened from 99, and the second-lien term loan was downsized from $300 million and the discount was changed from 98.

The company’s $1.41 billion credit facility also includes a $50 million revolver.

Jefferies Finance LLC and KKR Capital Markets are leading deal that will be used to refinance existing debt and fund a distribution to shareholders, with Jefferies left on the first-lien and KKR left on the second-lien.

TKC is a St. Louis-based provider of commissary, food service and related technology products to the corrections industry, and a provider of in-room coffee service to hotels and motels.

Pinnacle Foods modified

Pinnacle Foods revised pricing on its $2,262,000,000 term loan due 2024 to Libor plus 200 bps from Libor plus 225 bps and moved the original issue discount to 99.875 from 99.5, a source said.

The term loan still has no Libor floor and 101 soft call protection for six months.

The company’s $2,462,000,000 credit facility (Ba2/BB+) also includes a $200 million revolver due 2022.

Recommitments were due at 3 p.m. ET on Friday, the source added.

Bank of America Merrill Lynch, Barclays, Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc. and Goldman Sachs Bank USA are leading the deal that will be used with about $220 million of cash from the balance sheet to refinance an existing $150 million revolver, a $1.41 billion term loan G, a $508 million term loan H and a $545 million term loan I.

Senior secured leverage is 3.2 times, and total leverage is 4.3 times.

Pinnacle Foods, a Parsippany, N.J.-based manufacturer, marketer and distributor of branded food products, expects to close on the credit facility on Feb. 3.

Compuware upsizes

Due to strong demand, Compuware lifted its add-on term loan B-2 to $435 million from $310 million, a market source remarked.

Price talk on the add-on loan and on the repricing of the company’s existing $931 million term loan B-2 is still Libor plus 425 bps to 450 bps with a 1% Libor floor, with the repricing offered at par and the add-on talked with an original issue discount of 99.75.

The term B-2 debt is still getting 101 soft call protection for six months.

Jefferies Finance LLC is the left lead on the deal.

The repricing will take the existing term loan B-2 down from Libor plus 525 bps with a 1% Libor floor, and the add-on will be used to repay a term loan B-1 priced at Libor plus 525 bps with a 1% Libor floor, and, because of the upsizing, to pay down $59 million in revolver borrowings and $66 million of an existing second-lien term loan.

The company needed approval from lenders for the second-lien loan repayment and was seeking consents by 5 p.m. ET on Friday, the source added.

Compuware is a Detroit-based technology performance company.

Plaskolite changes OID

Plaskolite modified the original issue discount on its $380 million term loan B due November 2022 to 99.875 from 99.75, according to a market source.

As before, the term loan is priced at Libor plus 400 bps with a 1% Libor floor and has 101 soft call protection for six months.

The company’s $420 million credit facility also includes a $40 million revolver due November 2021 priced at Libor plus 400 bps with no floor and an original issue discount of 99.5.

Allocations were communicated on Friday afternoon, with closing and funding scheduled for Monday, the source said.

Antares Capital and KeyBanc Capital Markets are leading the deal that will be used to refinance existing bank debt.

Plaskolite is a Columbus, Ohio-based manufacturer of acrylics and other plastic products supplying a diverse range of end markets.

Power Products moves deadline

Power Products accelerated the commitment deadline on its $270 million covenant-light first-lien term loan (B1/B) to noon ET on Monday from Tuesday, a source remarked.

The first-lien 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 six months.

The company’s senior secured credit facility also includes a $30 million revolver (B1/B) and a $92.5 million privately placed second-lien term loan.

RBC Capital Markets is leading the deal that will be used to help fund the buyout of the company by Genstar Capital for $496 million.

First-lien leverage is 4.2 times and total leverage is 5.6 times.

Power Products is a Menomonee Falls, Wis.-based manufacturer and supplier of electrical products for construction and maintenance, recreational marine and specialty vehicles, industrial power, and transportation.

Go Daddy sets guidance

Also in the primary market, Go Daddy released talk of Libor plus 275 bps with no Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months on its $2.47 billion seven-year senior secured covenant-light term loan B (Ba3/BB-) that launched with a call on Friday, a market source said.

Commitments are due at noon ET on Feb. 3, the source added

Barclays, Deutsche Bank Securities Inc., Citigroup Global Markets Inc., RBC Capital Markets, J.P. Morgan Securities LLC, HSBC Securities (USA) Inc. and Societe Generale are leading the deal that will be used to refinance an existing term loan B and to fund the acquisition of Host Europe Group from Cinven for €1.69 billion, with €605 million paid to the sellers and €1.08 billion being assumed net debt that will be refinanced at closing.

The term loan has a ticking fee on the acquisition proceeds of half the spread from days 46 to 60 and thereafter the full spread plus the greater of 0% and three-month Libor

Closing is expected in the second quarter, subject to customary regulatory and other closing requirements.

Go Daddy is Scottsdale, Ariz.-based provider of web hosting and domain names. Host Europe is an England-based hosting provider and domain registrar.

Leslie’s holds lender

Leslie’s Poolmart hosted a lender call on Friday to launch a repricing of its $858 million term loan B (B1) talked at Libor plus 325 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on Thursday, the source added.

Nomura is leading the deal that will reprice the existing term loan B down from Libor plus 425 bps with a 1% Libor floor.

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

UPC seeks refinancing

UPC Financing held a call on Friday, launching a $2.15 billion term loan AP due April 2025 at talk of Libor plus 250 bps to 275 bps with no Libor floor, an original issue discount of 99.75 and 101 soft call protection for six months, according to a market source.

J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, Nomura and Scotiabank are leading the deal. Scotia is the administrative agent.

Proceeds will be used to refinance a term loan AN due 2024.

UPC is a subsidiary of Liberty Global, a TV and broadband company.

Mediware launches

Mediware launched its $320 million seven-year covenant-light first-lien term loan B (B-) at talk of Libor plus 400 bps to 425 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on Feb. 7, the source added.

The company’s $495 million credit facility also includes a $60 million five-year revolver (B-) and a $115 million second-lien term loan (CCC).

Bank of America Merrill Lynch, Jefferies Finance LLC, SunTrust Robinson Humphrey Inc., Nomura and RBC Capital Markets are leading the deal that will be used to help fund the buyout of the company by TPG Capital from Thoma Bravo.

Closing is expected this quarter, subject to customary conditions.

Mediware is a Lenexa, Kan.-based provider of software for healthcare and human services providers.

WME IMG details surface

WME IMG held its lender call on Friday, launching a repricing of its term loan B that is talked at Libor plus 300 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on Thursday, the source said.

KKR Capital Markets is leading the deal that will reprice the existing term loan down from Libor plus 425 bps with a 1% Libor floor.

WME IMG is an entertainment, sports and fashion company.

Peabody timing revealed

Peabody Energy came out with plans to hold a bank meeting at 10 a.m. ET in New York on Monday to launch its first-lien senior secured term loan, a market source said, adding that the size of the term loan is not yet available.

Goldman Sachs Bank USA, J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC and Macquarie Capital (USA) Inc. are leading the deal that will be used to refinance existing debt in connection with the company’s exit from bankruptcy.

The St. Louis-based coal producer revealed in an 8-K filed with the Securities and Exchange Commission earlier this month that it received a commitment for a five-year senior secured covenant-light term loan in the amount of $1.5 billion less the amount of notes issued on or prior to the term loan closing date plus any amount of additional senior secured term loans funded on the closing date.

The commitment letter had pricing on the term loan at Libor plus 575 bps with a 1% Libor floor, and the debt was said to include 101 call protection for one year.

ADT plans incremental

ADT set a lender call for 2 p.m. ET on Tuesday to launch a fungible $800 million covenant-light incremental term loan due May 2, 2022, a market source said.

Barclays is leading the deal that will be used to fund distributions to the company’s equity holders and pay related fees and expenses.

Apollo is the sponsor.

ADT is a security services company.

Greenway readies deal

Greenway Medical will hold a bank meeting at noon ET in New York on Tuesday to launch a $560 million credit facility, according to a market source.

The facility consists of a $30 million five-year revolver and a $530 million seven-year first-lien term loan, the source said.

Jefferies Finance LLC and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to refinance existing debt.

Greenway Medical is a Carrollton, Ga.-based provider of clinical, financial, administrative and connectivity information solutions to physician practices.

Sesac coming soon

Sesac Holdings scheduled a bank meeting for Tuesday afternoon to launch a $565 million credit facility, according to a market source.

The facility includes a revolver, a first-lien term loan and a second-lien term loan, the source said.

Jefferies Finance LLC, Guggenheim and Blackstone are leading the deal that will be used to help fund the buyout of the company by Blackstone from Rizvi Traverse Management.

Closing on is expected by the end of this quarter.

Sesac is a Nashville, Tenn.-based music rights organization.

Freedom Mortgage on deck

Freedom Mortgage set a bank meeting for 1 p.m. ET on Tuesday to launch a $350 million five-year term loan B, a market source remarked.

Barclays is leading the deal that will be used for general corporate purposes, including potential strategic acquisitions of Mortgage Servicing Rights, the source said.

Freedom Mortgage is a Mount Laurel, N.J.-based top tier residential mortgage company engaged in the origination, servicing, selling and securitizing of primarily agency-eligible residential mortgage loans.

Give & Go joins calendar

Give & Go Prepared Foods scheduled a lender call for 3:30 p.m. ET on Monday to launch a $50 million covenant-light incremental first-lien term loan, according to a market source.

The incremental term loan has 101 soft call protection through July 29, 2017, the source said.

Deutsche Bank Securities Inc. and Antares Capital are leading the deal that will be used to fund the acquisition of Uncle Wally’s Bake Shoppe.

Give & Go is a Toronto-based manufacturer of value-added baked goods.

PrimeSource allocates

In other news, PrimeSource Building Products (PriSo Acquisition Corp.) allocated its $426 million term loan due May 2022 in line with talk at Libor plus 300 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Deutsche Bank Securities Inc. is leading the deal that will reprice an existing term loan down from Libor plus 350 bps with a 1% Libor floor.

Closing is expected on Thursday, the source said.

PrimeSource is a Dallas-based two-step building products distributor.

RadNet wraps

RadNet Management Inc. allocated its $478,937,500 term loan B due 2023, and terms finalized at talk of Libor plus 325 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Barclays, Capital One, SunTrust Robinson Humphrey Inc., RBC Capital Markets and Credit Suisse Securities (USA) LLC are the bookrunners on the deal that will be used to reprice an existing term loan B down from Libor plus 375 bps with a 1% Libor floor.

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

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