Ranpak, Crowne Group, TriMark, Vestcom, Bioventus release guidance; new deal calendar builds

By Sara Rosenberg

New York, Sept. 9 – The primary market on Tuesday saw price talk disclosed on Ranpak Holdings Inc., Crowne Group LLC, TriMark USA Corp. (TMK Hawk Parent Corp.), Vestcom and Bioventus as all of these deals launched to investors during the session.

In addition, FleetCor Technologies Inc., Mattress Firm Holding Corp., TPF II, Jeld-Wen Inc., Central Security Group Inc. and Service King Collision Repair Centers all joined this week’s calendar.

Ranpak talk emerges

Ranpak held its bank meeting on Tuesday afternoon, and ahead of the event, price talk on its first- and second-lien term loan debt was announced, a market source said.

The $231 million seven-year first-lien covenant-light term loan is talked at Libor plus 400 basis points, the roughly €130 million seven-year first-lien covenant-light term loan is talked at Euribor plus 425 bps and the $170 million eight-year second-lien covenant-light term loan is talked at Libor plus 750 bps, with all tranches having a 1% floor and an original issue discount of 99, the source said.

The first-lien term loan has 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

Ranpak getting revolver

In addition to the term loans, Ranpak’s $600 million equivalent credit facility includes a $30 million five-year revolver.

Commitments are due on Sept. 23.

Credit Suisse Securities (USA) LLC and Macquarie Capital are leading the deal that will be used to help fund the buyout of the company by Rhone Capital LLC from Odyssey Investment Partners LLC.

Closing is expected in the third quarter, subject to customary conditions, including regulatory approvals.

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

Crowne Group launches

Crowne Group set talk at Libor plus 425 bps to 450 bps with a 1% Libor floor and an original issue discount of 99 on its $290 million six-year first-lien covenant-light term loan (B2), and Libor plus 775 bps with a 1% Libor floor and a discount of 99 on its $90 million seven-year second-lien covenant-light term loan (Caa2), a source said.

The first-lien term loan is 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

The company’s $455 million credit facility, which launched with an afternoon bank meeting, also includes a $75 million asset-based revolver.

Commitments are due on Sept. 23, the source added.

Jefferies Finance LLC is leading the deal.

Crowne buying Trico

Proceeds from Crowne Group’s credit facility will be used to fund the acquisition of Trico Products Corp. from Kohlberg & Co. LLC and to refinance existing debt.

First-lien leverage is about 2.6 times and total leverage is around 3.4 times, based on pro forma combined annual EBITDA of $113 million.

Closing is subject to customary regulatory approvals.

Crowne is a Cleveland-based manufacturer and distributor of aftermarket and OEM component parts for the automotive and other industrial equipment markets. Trico is a Rochester Hills, Mich.-based manufacturer, marketer and distributor of windshield wiper blades, systems and components.

TriMark releases guidance

TriMark revealed price talk on its first- and second-lien term loans shortly before its morning bank meeting kicked off, according to a market source.

The $250 million seven-year first-lien covenant-light term loan (B3) is talked at Libor plus 425 bps with a 1% Libor floor and an original issue discount of 99, and the $105 million eight-year second-lien covenant-light term loan (Caa2) is talked at Libor plus 750 bps with a 1% Libor floor and a discount of 99, the source remarked.

As previously reported, the first-lien term loan has 101 soft call protection for six months, and the second-lien term loan has call protection of 102 in year one and 101 in year two.

The company’s $455 million credit facility, for which commitments are due on Sept. 23, also includes a $100 million ABL revolver.

TriMark acquired

Proceeds from TriMark’s credit facility will be used to back its already completed buyout by Warburg Pincus from Audax Group.

Credit Suisse Securities (USA) LLC, Wells Fargo Securities LLC, RBS Citizens, Deutsche Bank Securities Inc. and Jefferies Finance LLC are leading the deal.

TriMark is a South Attleboro, Mass.-based provider of equipment, supplies and design services to the foodservice industry.

Vestcom holds meeting

Vestcom had its bank meeting in the afternoon, launching its $215 million seven-year first-lien covenant-light term loan B (B1/B) with talk of Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source said.

Also, the company’s $95 million eight-year second-lien term loan (Caa1/CCC+) was launched at Libor plus 800 bps with a 1% Libor floor, a discount of 98½ and hard call protection of 102 in year one and 101 in year two, the source continued.

Along with the term loans, the $335 million credit facility includes a $25 million five-year revolver (B1/B).

Commitments are due on Sept. 23, the source added.

GE Capital Markets is leading the deal that will be used to refinance existing debt and to fund a distribution to shareholders.

Vestcom is a Little Rock, Ark.-based provider of outsourced shelf-edge media solutions to retail food, drug and mass merchants.

Bioventus discloses talk

Bioventus launched with a call its $60 million six-year second-lien term loan with talk in the 10½% all-in yield area and call protection of 102 in year one and 101 in year two, according to a market source.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance existing debt.

Bioventus is a Durham, N.C.-based orthopedic healing company.

FleetCor timing surfaces

Also in the primary, FleetCor Technologies revealed timing on the launch of its $3,785,000,000 senior secured credit facility (BB+), with the bank meeting scheduled to take place at 10 a.m. ET on Wednesday, according to a market source.

The facility consists of a $1 billion revolver A, a $35 million revolver B, a $1.7 billion five-year term loan A and a $1.05 billion seven-year term loan B.

Bank of America Merrill Lynch, Barclays, PNC Capital Markets and Wells Fargo Securities LLC are leading the deal that will help fund the $3.45 billion acquisition of Comdata Inc. from Ceridian LLC, and more funds for the purchase will come from the issuance of about 7.3 million shares of FleetCor stock to Ceridian.

Closing is expected in December, subject to regulatory approvals and other customary conditions.

Pro forma leverage will be 3.3 times at year-end.

FleetCor is a Norcross, Ga.-based provider of fuel cards and workforce payment products to businesses. Comdata is a Brentwood, Tenn.-based business-to-business provider of electronic payment services.

Mattress details disclosed

Mattress Firm set a bank meeting for 10:30 a.m. ET on Thursday to launch an $845 million credit facility that will be used to fund the acquisition of the Sleep Train Inc. for $425 million, a Rocklin, Calif.-based bedding specialty retailer, finance bolt-on acquisitions and refinance existing debt, according to a market source.

The facility consists of a $125 million five-year ABL revolver and a $720 million seven-year covenant-light term loan, the source said.

Previously, the Houston-based specialty bedding company has said that it would issue senior secured debt for the Sleep Train transaction, but details on timing and structure were unavailable.

Barclays, Bank of America Merrill Lynch, J.P. Morgan Securities LLC and UBS AG are leading the deal.

Closing is expected in the fourth fiscal quarter of 2014, subject to expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and other regulatory approvals, and customary conditions.

TPF joins calendar

TPF II (TPF II Power LLC and TPF II Covert Midco LLC) scheduled a bank meeting for 10:30 a.m. ET on Thursday to launch a $1.59 billion senior secured credit facility, a market source said.

The facility consists of a $90 million revolver and a $1.5 billion term loan B, the source continued.

Morgan Stanley Senior Funding Inc., Bank of America Merrill Lynch, Goldman Sachs Bank USA and MUFG Union Bank are leading the deal that will be used to repay existing debt at TPF II LC LLC, TPF II Rolling Hills LLC and Astoria Generating Co. Acquisitions LLC, fund a distribution to the equity holders and fund a debt service reserve account.

TPF is an investor in energy and power assets.

Jeld-Wen coming soon

Jeld-Wen will host a bank meeting at 10 a.m. ET on Thursday to launch a $775 million seven-year covenant-light term loan B, according to a market source.

Bank of America Merrill Lynch, Wells Fargo Securities LLC, Barclays, SunTrust Robinson Humphrey Inc. and KeyBanc Capital Markets are leading the deal that will be used to refinance existing senior secured credit facility debt and senior secured notes.

Jeld-Wen is a Klamath Falls, Ore.-based door and window manufacturer.

Central Security on deck

Central Security Group plans to hold a bank meeting at 10 a.m. ET in New York on Thursday to launch a $325 million credit facility, according to a market source.

The facility consists of a $50 million five-year revolver, a $225 million six-year first-lien covenant-light term loan with 101 soft call protection for six months, and a $50 million seven-year second-lien covenant-light term loan with call protection of 102 in year one and 101 in year two, the source said.

Commitments are due on Sept. 25.

Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance existing debt and fund a shareholder dividend.

Central Security is a Tulsa, Okla.-based provider of alarm monitoring services.

Service King readies deal

Service King is set to hold a bank meeting at 10 a.m. ET on Wednesday to launch a $495 million credit facility, a market source remarked.

The facility consists of a $100 million revolver, a $355 million covenant-light term loan B and a $40 million covenant-light delayed-draw term loan, the source continued.

Bank of America Merrill Lynch, J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc. and Macquarie Capital are leading the deal that will be used to help fund the purchase of a majority stake in the company by Blackstone, while the Carlyle Group, its co-investors and management and employees will retain a significant minority stake in the company.

Closing is expected in the third quarter.

Service King is a Dallas-based operator of a chain of automobile body repair centers.

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