Intelsat notes trade down as financing sought; Revlon falls after term loan launched

By James McCandless

San Antonio, April 14 – The distressed debt space spent Tuesday focused on newsmakers in the telecom and retail spaces.

Intelsat SA’s notes were pushed downward as the company seeks debtor-in-possession financing to hold itself over while waiting for a C-band spectrum auction.

Intelsat Jackson Holdings SA’s 8½% senior notes due 2024 lost 3¼ points to close at 58¾ bid. The 5½% senior notes due 2023 dipped 2¾ points to close at 56¾ bid.

The two tranches combined saw about $50 million trading.

During the session, news broke that the Luxembourg-based satellite operator is searching for financial backers for a DIP loan of about $750 million.

Meanwhile, in retail, Revlon, Inc.’s paper fell as a subsidiary launched a senior secured first-lien term loan.

The 5¾% senior notes due 2021 crashed 21¼ points to close at 58½ bid. The 6¼% senior paper due 2024 shaved off ¼ point to close at 24¾ bid.

The New York-based cosmetics producer announced on Tuesday that subsidiary Revlon Consumer Products Corp. has launched an $850 million senior secured first-lien term loan due June 30, 2025.

Price talk on the term loan is Libor plus 1,050 basis points plus 2% PIK, the source said. The term loan is also talked with a 1.5% Libor floor and a par issue price.

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