Ascend Learning hits secondary; Invenergy reveals talk; Jarden, 888, Ardent set launches

By Sara Rosenberg

New York, July 17 – Ascend Learning tightened the original issue discount on its add-on term loan, and then the debt freed up for trading during Friday’s market hours above the revised issue price.

In more happenings, Invenergy Thermal Operating I LLC released talk on its term loan, Jarden Corp. came out with timing on the launch of its incremental term debt, and 888 Holdings Ltd. plc and Ardent Legacy Acquisitions Inc. emerged with new deal plans.

Ascend tweaks OID, breaks

Ascend Learning modified the original issue discount on its fungible $20 million add-on term loan (B2) to 99 7/8 from 99.75, according to a market source.

Like the existing term loan, pricing on the add-on loan due 2019 is Libor plus 450 basis points with a 100 bps pricing step-up if the corporate family rating is below B3/B- and a 1% Libor floor. The debt has 101 soft call protection through December.

With final terms in place, the add-on term loan made its way into the secondary market, with levels quoted at par ½ bid, 101 offered, a trader said.

Bank of America Merrill Lynch, GE Capital Markets and Barclays are leading the deal that will be used for acquisition financing and general corporate purposes.

Based in Burlington, Mass., and Leawood, Kan., Ascend Learning is a provider of technology-based learning services focused on student training and testing results in health care and other vocational fields.

Kendra holds steady

Kendra Scott Designs’ $70 million six-year term loan was quoted at 99¼ bid, par ¼ offered on Friday, in line with where it broke for trading on Thursday, a trader remarked.

Pricing on the term loan is Libor plus 600 bps with a 1% Libor floor, and it was sold at an original issue discount of 99. There is 101 soft call protection for six months.

During syndication, the spread on the term loan was lifted from talk of Libor plus 500 bps to 525 bps.

The company’s $85 million credit facility also includes a $15 million five-year revolver.

BNP Paribas Securities is leading the deal that will be used to refinance existing debt and fund a dividend.

Kendra Scott is an Austin, Texas-based jewelry and accessories company.

Invenergy discloses guidance

Invenergy Thermal Operating held its bank meeting on Friday morning, launching its $537 million seven-year term loan B with talk of Libor plus 525 bps to 550 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source said.

The company’s $607 million senior secured credit facility (B1/B+) also includes a $70 million revolver.

Commitments are due on July 30, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to retire existing corporate and some project-level debt, and to fund reserves.

Invenergy is a power producer consisting of six gas-fired power plants.

Jarden on deck

Jarden scheduled a lender call for 11 a.m. ET on Monday to launch new term loan debt, according to a market source, who said size and structure are not yet available.

Barclays, Credit Suisse Securities (USA) LLC and UBS AG are leading the deal that will be used to help fund the acquisition of Waddington Group Inc. from Olympus Partners and other stockholders for about $1.35 billion.

The company said in a recent 424B5 filing with the Securities and Exchange Commission that it expects to get $600 million in incremental term loans and senior notes and sell 14 million shares of common stock and cash on hand for the acquisition, with other funds coming from cash on hand.

Jarden’s existing term loan debt is comprised of a $643.5 million term loan A due Dec. 17, 2019 priced at Libor plus 175 bps, a roughly $623.5 million term loan B due March 31, 2018 priced at Libor plus 250 bps and a roughly $736.9 million term loan B-1 due Sept. 30, 2020 priced at Libor plus 275 bps.

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

Jarden is a Boca Raton, Fla.-based diversified consumer products company. Waddington is a Covington, Ky.-based manufacturer and marketer of disposable tableware.

888 readies deal

888 Holdings set bank meetings for 10 a.m. ET in London on Tuesday and 10 a.m. ET in New York on Wednesday to launch a $650 million-equivalent credit facility, a market source remarked.

The facility consists of a $50 million five-year multi-currency revolver, and a $600 million covenant-light six-year term loan split between U.S. dollar and euro tranches, with the expectation being that the U.S. piece will be greater than or equal to $350 million, the source added.

Barclays and J.P. Morgan Securities LLC are leading the deal.

Proceeds will be used to help fund the acquisition of bwin.party digital entertainment plc for 39.45 pence in cash and 0.404 in new 888 shares per bwin.party share, or about £898.3 million.

888 and bwin.party are Gibraltar-based online gaming companies.

Ardent coming soon

Ardent Legacy Acquisitions surfaced with plans to hold a lender call at 2 p.m. ET on Monday to launch a $250 million first-lien term loan, a market source said.

Bank of America Merrill Lynch and Barclays are leading the deal.

Ardent is a Nashville-based provider of health-care services.

Lightower line-up emerges

In other news, right leads on Lightower Fiber Networks’ proposed $829 million add-on first-lien term loan surfaced, with the list including Jefferies Finance LLC, Morgan Stanley Senior Funding, SunTrust Robinson Humphrey Inc., UBS and Deutsche Bank Securities Inc., according to a market source.

As previously reported, JPMorgan is the left lead on the deal.

The add-on term loan is scheduled to launch with a lender call at 10 a.m. ET on Tuesday.

Proceeds will be used to help fund the company’s merger with Fibertech Networks in an all-cash transaction valued at $1.9 billion.

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

Lightower is a Boxborough, Mass.-based provider of custom, high-capacity network services. Fibertech, a Court Square Capital Partners portfolio company, is a Rochester, N.Y.-based provider of fiber-optic based network services.

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