Pisces, TricorBraun, TridentUSA break; Wabash moves deadline; NGPL, Osmose tweak deals

By Sara Rosenberg

New York, April 30 - Pisces Energy LLC's term loan freed up for trading on Monday, with levels quoted above its original issue discount, and TricorBraun and TridentUSA Health Services hit the secondary after some changes were made.

Also, Burlington Coat Factory Warehouse Corp.'s term loan B softened as the company announced refinancing plans, and Select Medical Corp.'s term loan was better following a ratings upgrade.

Over in the primary, Wabash National Corp. moved up the commitment deadline on its term loan due to strong demand, NGPL PipeCo LLC revised the spread, discount and call protection on its B loan, and Osmose Holdings Inc. upsized its credit facility while tightening pricing.

Furthermore, Evertec LLC released talk on an incremental term loan that was presented to lenders in the afternoon, Misys plc came out with timing on the launch of its credit facility, and Brickman Group Ltd. disclosed that it will be bringing a repricing transaction to market.

Pisces starts trading

Pisces Energy's $185 million four-year first-lien term loan made its way into the secondary market on Monday, with levels quoted at 97½ bid, 98½ offered, according to a market source.

Pricing on the loan is Libor plus 1,000 basis points with a 2% Libor floor, and it was sold at an original issue discount of 97. The debt is non-callable for two years, then at 105 in year three and 103 in year four.

UBS Securities LLC is leading the deal that will be used to acquire properties in the Gulf of Mexico shelf from Exxon Mobil and BHP Billiton, prefund development capital expenditures and recapitalize the balance sheet.

Closing is expected in mid-May.

Pisces Energy is a Metairie, La.-based producer, developer, acquirer and exploiter of crude oil and natural gas properties in the Gulf of Mexico.

TricorBraun tops par

TricorBraun's credit facility broke too, with the $480 million term loan B quoted at par 3/8 bid, par ½ offered, according to a source.

Pricing on the term loan B and on a $75 million revolver is Libor plus 425 bps with a step-down to Libor plus 400 bps at 3.75 times leverage. There is a 1.25% Libor floor and the debt was sold at an original issue discount on 991/2.

During syndication, pricing on the $555 million credit facility (B1/B) firmed at the low end of the Libor plus 425 bps to 450 bps, and the discount was revised from 99.

GE Capital Markets and UBS Securities LLC are the lead banks on the deal that will be used to refinance existing debt and fund a dividend.

TricorBraun is a St. Louis-based designer and deliverer of rigid packaging.

TridentUSA frees up

TridentUSA's credit facility also broke for trading, with the $175 million five-year first-lien term loan quoted at 98½ bid, 99 offered and the $89 million 51/2-year second-lien term loan quoted at 98 bid, 99 offered, according to a source.

Pricing on the first-lien term loan, and on a $42.5 million four-year revolver that was downsized from $50 million, is Libor plus 525 bps with a 1.25% Libor floor, and the tranches were sold at an original issue discount of 981/2. The term loan has 101 repricing protection for one year.

The second-lien term loan, which was downsized from $100 million, is priced at Libor plus 1,050 bps with a 1.25% Libor floor and was sold at an original issue discount of 98 after flexing from initial talk of Libor plus 900 bps with a 1.25% floor and a discount of 97, a source said. The debt is non-callable for one year, then at 103 in year two, 102 in year three and 101 in year four.

TridentUSA recapitalizing

Proceeds from TridentUSA's $306.5 million credit facility will be used to refinance $120 million of existing debt and pay a roughly $129 million dividend to sponsors, Audax Group and Frazier Healthcare.

The dividend was initially sized at about $140 million, but was reduced as a result of the second-lien term loan downsizing, the source explained.

Credit Suisse Securities (USA) LLC, GE Capital Markets and Madison Capital are leading the deal.

TridentUSA is a Burbank, Calif.-based provider of bedside diagnostics services offering mobile x-ray, ultrasound, teleradiology and laboratory services to skilled nursing home, assisted living, home health care, hospice and correctional markets.

Burlington slides

Also in trading, Burlington Coat's term loan B dropped to par 3/8 bid, par 7/8 offered from 101 bid, 101 3/8 offered, according to one trader, and to 99¾ bid, par ¼ offered from 101 bid, 101 3/8 offered, according to a second trader, on news of a refinancing that will be launched with a call on Tuesday.

The company will be approaching lenders with a new $950.5 million term loan B due February 2017 that is talked at Libor plus 400 bps to 425 bps with a 1.25% Libor floor, an original issue discount that is still to be determined and 101 soft call protection for one year, a source said.

By comparison, the existing $950.5 million term B due February 2017 that is being taken out is priced at Libor plus 475 bps with a 1.5% Libor floor, and was sold at an original issue discount of 99 in February 2011.

J.P. Morgan Securities LLC, Goldman Sachs & Co., Bank of America Merrill Lynch and Wells Fargo Securities LLC are the lead banks on the deal.

Burlington Coat Factory is a Burlington, N.J.-based discount retailer.

Select Medical rises

Select Medical's term loan moved up to 97¼ bid, 98¼ offered from 97 bid, 98 offered as Standard & Poor's upgraded the company's corporate credit rating to B+ from B and senior secured loan rating to BB from BB-, a trader said.

"The ratings upgrade on Select Medical reflects the reduction in the company's debt leverage to 4.5x as Dec. 31, 2011, our view that it will remain at or below that level in 2012 on better reimbursement prospects, and our confidence that the company is committed to this level," said Standard & Poor's credit analyst David Peknay in the rating release.

Select Medical is a Mechanicsburg, Pa.-based operator of specialty hospitals and outpatient rehabilitation clinics.

Wabash revises deadline

Switching to the primary, Wabash accelerated the commitment deadline on its $300 million seven-year senior secured term loan (B1/B+) to 5 p.m. ET on Tuesday from Wednesday as the tranche is already oversubscribed, a market source told Prospect News.

The loan is talked at Libor plus 500 bps with a 1.25% Libor floor and an original issue discount of 99, and includes 101 soft call protection for one year.

Morgan Stanley Senior Funding Inc. and Wells Fargo Securities LLC are the lead banks on the deal that will be used, along with $150 million of convertible senior notes, to fund the purchase of Walker Group Holdings LLC for $360 million.

Closing is expected in the second quarter, subject to regulatory approval.

Wabash amending revolver

Along with the term loan, Wabash expects to amend its asset-based revolver to allow for the acquisition and the financing.

With the amendment, the company will repay $60.6 million of revolver borrowings.

In case an amendment can't be obtained, the company has received a commitment from Morgan Stanley and Wells Fargo for a new five-year asset-based revolver to replace the existing facility.

Wabash is a Lafayette, Ind.-based manufacturer of semi-trailers. Walker Group is a New Lisbon, Wis.-based manufacturer of liquid-transportation systems and engineered products.

NGPL flexes higher

NGPL made changes to its $600 million term loan B, raising the coupon to Libor plus 550 bps from Libor plus 425 bps and revising the original issue discount to 98 from 981/2, while leaving the 1.25% Libor floor intact, according to a market source.

Also, the loan is now non-callable for one year with 101 soft call in year two, versus only having 101 soft call protection for one year, hard amortization was added and there is a 60% excess cash flow sweep on cash flow remaining post amortization payments, the source said.

The company's $675 million five-year credit facility (NA/BB-/BB-) includes a $75 million revolver as well.

Credit Suisse Securities (USA) LLC, Barclays Capital Inc. and RBC Capital Markets LLC are leading the deal that will help fund the tender for $1.25 billion of 6.514% senior notes due 2012 that expires on May 11, and for general corporate purposes.

NGPL is a Houston-based natural gas transportation and storage company.

Osmose reworks deal

Another deal to see revisions was Osmose, as its six-year first-lien term loan was increased to $255 million from $240 million and its five-year revolver was upsized to $45 million from $25 million, according to a market source.

In addition, pricing on the term loan was flexed to Libor plus 525 bps with a 1.25% Libor floor and an original issue discount of 99, from earlier talk of Libor plus 550 bps with a 1.25% floor and a discount of 98, the source said. There is still 101 soft call protection for one year.

Credit Suisse Securities (USA) LLC and Macquarie Capital are the lead banks on the $300 million credit facility (B1/B+), up from $265 million, that will be used with equity to fund the buyout of the company by Oaktree Capital Management.

Osmose is a Buffalo, N.Y.-based provider of wood preservation technology as well as utility and railroad asset management.

Evertec talk emerges

In more primary happenings, Evertec held a conference call on Monday afternoon to launch a $170 million incremental term loan B due Sept. 30, 2016, and talk on the deal was announced at Libor plus 400 bps with a 1.5% Libor floor and an original issue discount of 99 to 991/2, according to sources.

Pricing matches the existing term loan B that was sold in 2011 at par.

Bank of America Merrill Lynch and Morgan Stanley Senior Funding Inc. are leading the deal that will be used with a $40 million 11% senior notes offering to pay a cash dividend to the parent company.

With the transaction, the company is seeking an amendment to its existing senior secured credit facility to allow for an up to $270 million restricted payment and increase the maximum senior secured leverage ratio by 0.25 times for each period.

Evertec is a San Juan, Puerto Rico-based diversified processing business, offering transaction and payment processing, merchant acquiring and processing and business process management services.

Misys sets launch

Misys nailed down timing on the launch of its $1.16 billion credit facility with the scheduling of a bank meeting for May 7 in New York and one in London on May 3, according to a market source.

The facility is comprised of a $100 million five-year revolver and $1.06 billion first-lien seven-year term loan split between dollar and euro pieces that has 101 repricing protection for one year.

The source said that the breakdown of the U.S. and euro tranche sizes are still to be determined, but the company previously said that if the deal was rated, the split would be $533 million and €400 million, and if it was not rated, the split would be $730.6 million and €250 million.

Official price talk is not yet available, the source continued, however, the company expects the revolver at Libor plus 425 bps, the U.S. term loan at Libor plus 450 bps and the euro term loan at Euribor plus 500 bps, with all tranches having a 25 bps step-down at less than 5 times total leverage. Also, the U.S. and euro term loans were outlined by the company as having a 1.25% floor, and the revolver is expected to have a 50 bps unused fee.

Misys being acquired

Proceeds from Misys credit facility will be used to help fund its buyout by Vista Equity Partners for 350p per share and refinance certain debt. The transaction values the entire existing and to be issued ordinary share capital of the company at around £1.27 billion.

Additionally, equity will be used for the buyout and the company has received a commitment for a $615 million 71/2-year unsecured term loan that is expected to be priced at 9% and be non-callable for three years, then at 106¾ in 2015, 104½ in 2016 and 102¼ in 2017.

Credit Suisse Securities (USA) LLC, Bank of America Merrill Lynch and Jefferies Finance LLC are the joint lead arrangers and bookrunners on the credit facility.

Misys is a London-based application software and services provider for the financial services industry.

Brickman plans repricing

Brickman Group also joined the calendar, setting a lender call for Tuesday morning to launch a repricing of its $527 million term loan B that currently carries an interest rate of Libor plus 550 bps with a 1.75% Libor floor, according to a market source.

The term loan B had been sold at an original issue discount of 99 when it was done in 2010.

Barclays Capital Inc. and Bank of America Merrill Lynch are the lead banks on the deal.

Brickman is a Gaithersburg, Md.-based commercial landscaping company.

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