Greenway, TeamViewer, BBB Industries, SeaStar break; Freedom, Level 3, Armstrong updated

By Sara Rosenberg

New York, Feb. 16 – Deals from Greenway Health LLC, TeamViewer and BBB Industries LLC surfaced in the secondary market on Thursday, and SeaStar Solutions firmed pricing on its term loan B at the high end of guidance and then freed up for trading too.

In more happenings, Freedom Mortgage Corp. increased the size of its term loan B while tightening the spread and original issue discount, and Level 3 Financing Inc. set its term loan B amount at the high end of revised talk.

Also, Armstrong World Industries Inc. firmed pricing on its term loan B at the tight side of guidance, Restaurant Brands International Inc. upsized its term loan B and set pricing at the low end of talk and WideOpenWest Finance LLC pulled its term loan from market.

Furthermore, Virtus Investment Partners Inc., SS&C Technologies Inc., Avis Budget Group Inc. and Ranpak Corp. released price talk with launch, and DuBois Chemicals and Tower Automotive Holdings USA LLC emerged with new deal plans.

Greenway hits secondary

Greenway Health’s credit facility began trading, with the $530 million seven-year covenant-light first-lien term loan quoted at par bid, 101 offered, according to a market source.

Pricing on the loan is Libor plus 475 basis points with a 1% Libor floor, and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

On Wednesday, pricing on the term loan was lowered from talk of Libor plus 500 bps to 525 bps, and the discount was tightened from 99.

The company’s $560 million credit facility (B3/B-) also includes a $30 million five-year revolver.

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

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

TeamViewer starts trading

TeamViewer’s term loans also freed up, with the $200 million eight-year covenant-light second-lien term loan seen at 98½ bid, 99½ offered, a market source said.

The second-lien term loan is priced at Libor plus 825 bps with a 1% Libor floor and was issued at a discount of 98.5. This loan has call protection of 102 in year one and 101 in year two.

The company is also getting a $325 million U.S. seven-year covenant-light first-lien term loan B priced at Libor plus 475 bps with a 1% Libor floor and a $240 million euro-equivalent seven-year covenant-light first-lien term loan B priced at Euribor plus 450 bps with a 1% floor. Both first-lien loans were issued at a discount of 99.5 and include 101 soft call protection for six months.

TeamViewer lead banks

Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc. and Nomura are leading TeamViewer’s debt, with Bank of America the left lead on the first-lien term loans and Credit Suisse the left lead on the second-lien term loan.

During syndication, the U.S. first-lien term loan was downsized from $390 million and pricing was set at the low end of the Libor plus 475 bps to 500 bps talk, the euro first-lien term loan was upsized from $160 million euro-equivalent and the spread was lowered from talk of Euribor plus 475 bps to 500 bps, and the second-lien term loan was downsized from $215 million with pricing cut from talk of Libor plus 875 bps to 900 bps.

Proceeds will be used to refinance existing debt and fund a shareholder distribution.

TeamViewer is a Germany-based provider of secure remote support and access software.

BBB tops OID

BBB Industries’ $100 million incremental first-lien term loan (B2) broke for trading too, with levels quoted at 99¾ bid, par ¼ offered, according to a trader.

Pricing on the loan is Libor plus 500 bps with a 1% Libor floor, and it was sold at an original issue discount of 99.5.

During syndication, pricing on the loan firmed at the high end of the Libor plus 475 bps to 500 bps talk.

Nomura and Jefferies Finance LLC are leading the deal that will be used to prepay an existing second-lien term loan.

BBB is a Daphne, Ala.-based remanufacturer of automotive products for the North American aftermarket.

SeaStar sets spread, trades

SeaStar Solutions finalized pricing on its $272 million term loan B at Libor plus 375 bps, the wide 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, a market source said.

With final terms in place, the loan made its way into the secondary market, and levels were quoted at par 1/8 bid, par 5/8 offered, the source added.

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

SeaStar is a Litchfield, Ill.-based manufacturer and distributor of marine steering and control systems and engine and drive parts.

Freedom Mortgage reworked

Freedom Mortgage raised its five-year term loan B to $450 million from $350 million, cut pricing to Libor plus 550 bps from Libor plus 600 bps and modified the original issue discount to 99 from 98, according to a market source.

The term loan B still has a 1% Libor floor and 101 hard call protection for one year.

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

Barclays, J.P. Morgan Securities LLC and Nomura are leading the deal that will be used for general corporate purposes, including potential strategic acquisitions of Mortgage Servicing Rights.

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.

Level 3 firms size

Level 3 Financing finalized the size on its seven-year covenant-light term loan B at $4.61 billion, the high end of revised talk of $3.61 billion to $4.61 billion, and up from an initial amount of $2.61 billion, according to a market source.

As before, the loan is priced at Libor plus 225 bps with a 0% Libor floor and an original issue discount of 99.75, and includes 101 soft call protection for six months.

Previously in syndication, pricing on the loan was cut from Libor plus 250 bps.

Bank of America Merrill Lynch, Citigroup Global Markets Inc., Morgan Stanley Senior Funding Inc., Barclays, Goldman Sachs Bank USA, Credit Suisse Securities (USA) LLC and J.P. Morgan Securities LLC are leading the deal that will be used to refinance an $815 million term loan B-3 due in 2019 and a $1,795,500,000 term loan B due in 2020 and, due to the upsizing, a $2 billion term loan B-2 due in 2022.

Level 3 is a Broomfield, Colo.-based provider of communications services to enterprise, government and carrier customers.

Armstrong updated

Armstrong World Industries firmed pricing on its $249 million term loan B due 2023 at Libor plus 275 bps, the low end of the Libor plus 275 bps to 300 bps talk, a market source said.

The term loan still has a 0.75% Libor floor, a par issue price and 101 soft call protection for six months.

Bank of America Merrill Lynch is leading the deal that will be used to reprice an existing term loan down from Libor plus 325 bps with a 0.75% Libor floor.

Armstrong is a Lancaster, Pa.-based designer and manufacturer of floors and ceiling systems.

Restaurant Brands tweaked

Restaurant Brands lifted its term loan B due February 2024 to $4.9 billion from $4.46 billion and firmed pricing at Libor plus 225 bps, the low end of the Libor plus 225 bps to 250 bps talk, a market source remarked.

As before, the term loan B has a 1% Libor floor, an original issue discount of 99.875 and 101 soft call protection for six months.

J.P. Morgan Securities LLC is leading the dal that will be used to extend the existing term loan B from December 2021 and reprice the debt from Libor plus 275 bps with a 1% Libor floor.

As of Dec. 31, the existing term loan B totaled $5,046,000,000.

Restaurant Brands is an Oakville, Ont.-based quick service restaurant company.

WideOpenWest withdrawn

WideOpenWest removed its $90 million incremental first-lien term loan due August 2023 and the repricing of its $2.06 billion first-lien term loan due August 2023 from the primary market, a source said.

The term loan debt had been talked at Libor plus 300 bps with no Libor floor, a par issue price and 101 soft call protection for six months.

Credit Suisse Securities (USA) LLC, Morgan Stanley Senior Funding Inc. and SunTrust Robinson Humphrey Inc. were leading the deal (B1).

Proceeds from the incremental loan would have paid down unsecured notes, and the repricing would have taken the existing term loan down from Libor plus 350 bps with a 1% Libor floor.

WideOpenWest is a Denver-based provider of data, video and telephone services.

Virtus reveals guidance

Also in the primary, Virtus Investment had its lenders’ presentation on Thursday, and with the event, price talk on its $360 million senior secured credit facility (Ba1/BB+) was announced, according to a market source.

The $100 million five-year revolver is talked at Libor plus 400 bps with a 0% Libor floor, and the $260 million seven-year first-lien term loan B is talked at Libor plus 400 bps with a 0.75% Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, the source said.

Commitments are due on March 2.

Morgan Stanley Senior Funding Inc., Barclays, J.P. Morgan Securities LLC and Bank of America Merrill Lynch are leading the deal that will be used to help fund the acquisition of RidgeWorth Investments from Lightyear Capital LLC in a transaction that values RidgeWorth at $472 million. Virtus will also acquire certain investments at their fair value as of closing, for a total consideration of about $513 million.

Closing is expected mid-year, subject to regulatory, fund shareholder and other client approvals.

Virtus is a Hartford, Conn.-based provider of investment management products and services. RidgeWorth is an Atlanta-based multi-boutique asset management firm.

SS&C launches

SS&C Technologies emerged in the morning with plans to hold a lender call at 3 p.m. ET on Thursday to launch $1,856,700,000 in term loans, according to a market source.

The debt consists of a $91.9 million term loan A-1 due July 8, 2020, a $142.5 million term loan A-2 due July 8, 2020, a $1,480,200,000 covenant-light term loan B-1 due July 8, 2022 and a $142.1 million covenant-light term loan B-2 due July 8, 2022, the source said.

Talk on the term loan A borrowings is Libor plus 175 bps with a 0% Libor floor and a par issue price, and talk on the term loan B borrowings is Libor plus 225 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months.

Consents/commitments are due on Feb. 23, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to reprice the existing term loan A debt due 2020 and the existing term loan B debt due 2022.

SS&C is a Windsor, Conn.-based provider of financial services software and software-enabled services.

Avis holds call

Avis Budget Group held a lender call in the afternoon to launch a $1.15 billion term loan B due March 2022 talked at Libor plus 200 bps to 225 bps with no Libor floor and 101 soft call protection for six months, a market source said.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance an existing term loan due in 2019 priced at Libor plus 225 bps with a 0.75% Libor floor, to reprice an existing term loan due in 2022 from Libor plus 250 bps with a 0.75% Libor floor, and for general corporate purposes.

Lenders extending their commitments through this transaction and the incremental amount being raised from the current balance of term loan borrowings is talked with an original issue discount of 99.875, and the repricing is offered at par, the source added.

Avis is a Parsippany, N.J.-based provider of vehicle rental services.

Ranpak talk surfaces

Ranpak held its lender call, launching its fungible $45 million add-on first-lien term loan and repricing of its existing roughly $214 million U.S. first-lien term loan at talk of Libor plus 275 bps to 300 bps with a 1% Libor floor and 101 soft call protection for six months, according to a market source.

The add-on loan is talked with an original issue discount of 99.5 and the repricing is offered at par, the source said.

Commitments are due on Feb. 24.

Macquarie Capital (USA) Inc. is leading the deal.

The add-on term loan will be used to repay a second-lien term loan, and the repricing will take the existing term loan down from Libor plus 325 bps with a 1% Libor floor.

Ranpak is a Concord Township, Ohio-based manufacturer of paper-based systems for protective packaging needs.

DuBois readies deal

DuBois Chemicals set a bank meeting in New York for Feb. 27 to launch a $555 million credit facility, a market source remarked.

The facility consists of a $50 million six-year revolver, a $300 million seven-year first-lien term loan, a $75 million seven-year delayed-draw first-lien term loan and a $130 million eight-year second-lien term loan, the source added.

Antares Capital is leading the deal that will be used to help fund the buyout of the company by funds managed by the Jordan Co. LP.

DuBois is a Sharonville, Ohio-based provider of customized chemical solutions and services for mission critical business applications.

Tower Automotive on deck

Tower Automotive will hold a lender call at 1 p.m. ET on Tuesday to launch a new loan transaction, according to a market source.

Citigroup Global Markets Inc. is the left lead on the deal.

Tower Automotive is a Livonia, Mich.-based supplier of automotive metal structural components and assemblies.

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