Quebecor, Larchmont break; U.S. Renal ups deadline; Fresenius, National Surgical revised

By Sara Rosenberg

New York, Aug. 1 - Quebecor Media Inc.'s term loan freed up for trading on Thursday above its original issue discount price, and Larchmont Resources LLC hit the secondary as well.

Over in the primary, U.S. Renal Care Inc. accelerated the commitment deadline on its term loans, Fresenius SE & Co. KGaA lowered pricing on its term loan and firmed the discount at the low end of talk, National Surgical Hospitals Inc. trimmed the coupon on its credit facility, and Reynolds and Reynolds Co. finalized pricing on its loans at the tight side of guidance.

Also, MEI Conlux Holdings Inc. and TriNet HR Corp. released talk on their deals that launched during the session, Alcatel-Lucent USA Inc. announced repricing plans, and EXCO Resources Inc., DS Waters of America Inc. and Fogo de Chao (Brasa Holdings Inc.) joined the forward calendar.

Quebecor frees up

Quebecor Media's $350 million seven-year senior secured covenant-light term loan B (B1) emerged in the secondary market on Thursday, with levels quoted at par bid, par ¾ offered, according to a market source.

Pricing on the loan is Libor plus 250 basis points with a 0.75% Libor floor and it was sold at an original issue discount of 991/2. There is 101 soft call protection for six months.

Earlier this week, the loan was upsized from $300 million and pricing was reduced from Libor plus 275 bps.

Citigroup Global Markets Inc., Scotia Capital (USA) Inc. and RBC Capital Markets led the deal that is being used for general corporate purposes.

Quebecor is a Montreal-based media company.

Larchmont starts trading

Larchmont Resources' $250 million six-year senior secured first-lien term loan broke too, with levels quoted at 99¾ bid, par ¾ offered, according to a market source.

Pricing on the loan is Libor plus 725 bps with a 1% Libor floor and it was sold at an original issue discount of 99. The debt is non-callable for one year, then at 101 in year two.

Recently, the loan was cut from $275 million, pricing was raised from talk of Libor plus 575 bps to 625 bps and the call protection was changed from a soft call of 102 in year one and 101 in year two.

Barclays and Jefferies Finance LLC are leading the deal that is being used to refinance existing debt.

Larchmont Resources is a privately-held entity owned by Aubrey K. McClendon (AKM) and EIG Global Energy Partners that holds oil and gas interests that AKM purchased through his participation in the Chesapeake Energy Corp. Founders Well Participation Program.

OWIC announced

Also in the secondary, a $38 million Offers Wanted In Competition surfaced, with offers due at 10 a.m. ET on Friday, according to a trader.

Some if the names in the portfolio are American Airlines Inc., Clear Channel Communications Inc., Federal-Mogul Corp., Media General Inc., Supervalu Inc. and WideOpenWest Finance LLC.

There are about 40 issuers in the portfolio, the trader added.

U.S. Renal shutting early

Moving to the primary, U.S. Renal Care moved up the commitment deadline on its $495 million in incremental term loans to 5 p.m. ET on Monday from Wednesday, according to a market source.

As previously reported, the $335 million incremental first-lien term loan due July 3, 2019 is talked at Libor plus 450 bps to 475 bps with a 1% Libor floor, an original issue discount of 98 and 101 soft call protection for one year.

And, the $160 million incremental second-lien term loan due Jan. 3, 2020 is talked at Libor plus 800 bps with a 1% Libor floor and a discount of 98, and is non-callable for one year, then at 102 in year two and 101 in year three.

Barclays, RBC Capital Markets, Goldman Sachs Bank USA and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to finance the company's acquisition of Brentwood, Tenn.-based health care services company Ambulatory Services of America Inc., which is expected to close in August.

U.S. Renal is a Plano, Texas-based developer, acquirer and operator of outpatient treatment centers for persons suffering from chronic kidney failure.

Fresenius flexes

Fresenius cut pricing on its $500 million six-year term loan to Libor plus 200 bps from Libor plus 225 bps and firmed the original issue discount at 991/2, the tight end of the 99 to 99½ talk, according to a market source.

The loan still has no Libor floor.

Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and J.P. Morgan Securities LLC are leading the deal that will be used to refinance existing debt.

Fresenius is a Bad Homburg, Germany-based provider of dialysis services and products.

National Surgical cuts spread

National Surgical Hospitals lowered pricing on its $187.5 million credit facility (B2/B) to Libor plus 450 bps from talk of Libor plus 475 bps to 500 bps, and kept the 1.25% Libor floor and original issue discount of 99 intact, according to a market source.

The facility consists of a $30 million five-year revolver and a $157.5 million six-year first-lien term loan.

BMO Capital Markets, CIT Group and Sumitomo Mitsui Banking Corp. are leading the deal that will be used to refinance existing debt.

National Surgical Hospitals is a Chicago-based owner, operator and developer of surgical hospitals and surgery centers in partnership with local physicians.

Reynolds firms pricing

Reynolds and Reynolds finalized pricing on its $1.75 billion seven-year first-lien term loan B (Ba3/B+) at Libor plus 325 bps, the tight end of revised talk of Libor plus 325 bps to 350 bps and down from initial talk of Libor plus 400 bps, and on its $1.1 billion 71/2-year second-lien term loan (Caa1/CCC+) at Libor plus 700 bps, the low end of the revised Libor plus 700 bps to 725 bps talk and down from original talk of Libor plus 775 bps, according to a market source.

The B loan still has a 1% Libor floor, a discount of 99½ and 101 soft call protection for one year, and the second-lien loan still has a 1% floor, a discount of 99 and is non-callable for two years, then at 102 in year three and 101 in year four.

Earlier in the week, the discount on the term B was tightened from 99 and the discount on the second-lien term loan was changed from 981/2.

Reynolds term A, revolver

Reynolds and Reynolds' $3,425,000,000 credit facility also provides for a $550 million five-year first-lien term loan A (Ba3/B+) that is geared toward CLOs and a $25 million revolver (Ba3/B+).

Pricing on the A loan is Libor plus 275 bps, after flexing recently from Libor plus 325 bps, with a 1% Libor floor and an original issue discount of 991/2.

Deutsche Bank Securities Inc. is leading the deal that will be used to repay existing debt and fund a capital payout to shareholders via a stock buyback.

With the recapitalization, existing holders, including Vista Equity Partners, a charitable trust, and senior executive management will roll over $900 million of class B shares.

Reynolds and Reynolds is a Kettering, Ohio-based provider of software, business forms and supplies, and professional services that support automotive retailing for car dealers and automakers.

MEI discloses talk

In more primary news, MEI Conlux held its bank meeting on Thursday, and with the event, talk on the $390 million seven-year covenant-light term loan came out at Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

The company's $450 million credit facility also includes a $60 million five-year revolver.

Commitments are due on Aug. 13, the source added.

Goldman Sachs Bank USA, Bank of America Merrill Lynch and Nomura are leading the deal that will be used to refinance existing debt.

MEI Conlux is a Malvern, Pa.-based manufacturer of electronic note acceptors, coin mechanisms and other unattended transaction systems.

TriNet reveals guidance

TriNet also held its bank meeting, launching its $150 million three-year first-lien term loan with talk of Libor plus 375 bps with no Libor floor and a par offer price, according to a market source.

Also, the $480 million seven-year first-lien term loan was launched at Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, the source said.

And, talk on the $190 million 71/2-year second-lien term loan emerged at Libor plus 775 bps with a 1% Libor floor, a discount of 98 and hard call protection of 102 in year one and 101 in year two.

With the term loans, the company is getting a $75 million five-year revolver.

J.P. Morgan Securities LLC is leading the $895 million credit facility, for which commitments are due on Aug. 13.

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

TriNet is a San Leandro, Calif., cloud-based provider of on-demand HR services.

Alcatel readies call

Alcatel-Lucent set a call for 11 a.m. ET on Friday to launch a repricing of its existing $1,741,250,000 term loan C and €298,500,000 term loan D, according to a market source.

The debt was obtained early this year, with the term loan C priced at Libor plus 625 bps with a 1% Libor floor and the term loan D priced at Euribor plus 650 bps with a 1% Euribor floor.

Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are the lead banks on the repricing.

Alcatel is a Paris-based telecommunications services and equipment company.

EXCO coming soon

EXCO Resources will hold a conference call at noon ET on Tuesday to launch a $300 million first-lien term loan due 2019, according to a market source.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance an existing senior secured term loan and for general corporate purposes.

EXCO is a Dallas-based oil and natural gas company.

DS Waters on deck

DS Waters of America scheduled a bank meeting for 1:30 p.m. ET on Monday to launch a $385 million senior secured credit facility, according to a market source.

The facility consists of a $75 million ABL revolver and a $310 million first-lien term loan, the source said.

Barclays, Credit Suisse Securities (USA) LLC, Jefferies Finance LLC and BMO Capital Markets are leading the deal that will leverage the company at 2 times on a first-lien basis and at 4.3 times total.

Proceeds will be used to help fund the buyout of the company by Crestview Partners.

DS Waters is an Atlanta-based direct-to-consumer beverage services provider.

Fogo de Chao plans loan

Fogo de Chao will hold a call at noon ET on Monday to launch a $182 million first-lien term loan due July 2019, according to a market source.

J.P. Morgan Securities LLC is leading the deal for the Dallas-based steakhouse chain in the United States and Brazil.

Atlas Energy closes

In other happenings, Atlas Energy LP completed its $240 million six-year term loan B (B3/B) that is priced at Libor plus 550 bps with a 1% Libor floor, a news release said. The loan was sold at an original issue discount of 99 and has hard call protection of 102 in year one and 101 in year two.

During syndication, the loan saw pricing flex from talk of Libor plus 600 bps to 625 bps.

Deutsche Bank Securities Inc. and Wells Fargo Securities LLC led the deal that was used to help fund the $800 million acquisition of natural gas proved reserves in the Raton, N.M., Black Warrior, Ala., and Arkoma Basin, Okla., basins from EP Energy E&P Co. LP.

Atlas Energy is a Pittsburgh-based master limited partnership that owns an interest in producing natural gas and oil wells.

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