TransUnion, Vistra, Life Time, Ciena, Builders FirstSource, Continental, Genex free to trade

By Sara Rosenberg

New York, Jan. 26 – In the secondary market on Thursday, deals from TransUnion LLC, Vistra Operations Co. LLC, Life Time Fitness Inc. (LTF Merger Sub Inc.), Ciena Corp., Builders FirstSource Inc., Continental Building Products Operating Co. LLC and Genex Holdings Inc. all broke for trading.

And, in the primary market, TKC Holdings Inc. revised sizes on its first-and second-lien term loans, updated spreads and tightened original issue discounts, and V.Group upsized its first-lien term loan as its second-lien loan was downsized, and reworked pricing on the first-lien tranche.

Also, BJ’s Wholesale Club Inc. increased sizes on its first-and second-lien term loans while adjusting spreads and original issue discounts, Acelity LP Inc. updated sizes, pricing and call protection on its U.S. and euro term loans, Terex Corp. tightened the spread and issue price on its term loan, and National Vision Inc. accelerated the commitment deadline on its incremental term loan.

Furthermore, Arclin, Ferro Corp., American Builders & Contractors Supply Co. Inc., Calpine Corp., PODS LLC and WCA Waste Corp. revealed price talk with launch, and ESH Hospitality Inc., Go Daddy Operating Co. LLC, Communications Sales & Leasing Inc., TeamViewer and Select Medical Holdings Corp. joined the near-term primary calendar.

TransUnion frees up

TransUnion’s $1,995,000,000 billion covenant-light term loan B-2 (B1/BB-) due April 9, 2023 began trading on Thursday, with levels quoted at par 5/8 bid, 101 offered, according to a trader.

Pricing on the loan is Libor plus 250 basis points with no Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, the 0.75% Libor floor was removed from the term loan and the issue priced firmed at the tight end of the 99.875 to par talk.

Deutsche Bank Securities Inc., Goldman Sachs Bank USA, J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Capital One, RBC Capital Markets and Wells Fargo Securities LLC are leading the deal.

Proceeds will be used to reprice an existing term loan B-2 from Libor plus 275 bps with a 0.75% Libor floor, remove the existing pricing grid and extend the maturity from April 2021.

TransUnion is a Chicago-based provider of information management and risk management services.

Vistra hits secondary

Vistra Operations’ $2.85 billion covenant-light term loan B due August 2023 and $650 million covenant-light term loan C due August 2023 also broke, with strip of debt quoted at par 3/8 bid, par 5/8 offered, a trader said.

Pricing on the loans is Libor plus 275 bps with a 0.75% Libor floor, and the debt was issued at par. The loans have 101 soft call protection for six months.

During syndication, the issue price on the term loans was tightened from 99.875.

Deutsche Bank Securities Inc., Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, RBC Capital Markets, Natixis and UBS Investment Bank are leading the deal that will reprice the existing term loan B and term loan C debt down from Libor plus 400 bps with a 1% Libor floor.

Closing is expected on Feb. 6.

Vistra, formerly known as Texas Competitive Electric Holdings Co. LLC, is a Dallas-based power generator and retail electric provider.

Life Time breaks

Another deal to free up was Life Time Fitness’ $1,334,000,000 covenant-light term loan B (B1/BB-) due June 2022, with levels quoted at par ¼ bid, par 5/8 offered, according to a trader.

Pricing on the loan is Libor plus 300 bps with a 1% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Jefferies Finance LLC, BMO Capital Markets, RBC Capital Markets, Macquarie Capital (USA) Inc., Nomura, Mizuho and Guggenheim are leading the deal that will reprice an existing term loan down from Libor plus 325 bps with a 1% Libor floor.

Life Time Fitness is a Chanhassen, Minn.-based operator of sports, professional fitness, family recreation and spa destinations.

Ciena frees to trade

Ciena’s $400 million five-year covenant-light term loan B (Ba2/BB+) broke, with levels seen at par ¼ bid, par ¾ offered, a source remarked.

Pricing on the loan is Libor plus 250 bps with a 0.75% Libor floor, and it was issued at a discount of 99.875. There is 101 soft call protection for six months.

During syndication, pricing on the term loan was trimmed from Libor plus 275 bps, and the discount firmed at the tight end of the 99.75 to 99.875 talk.

Bank of America Merrill Lynch and Deutsche Bank Securities Inc. are leading the deal that will be used to refinance existing term loans.

Ciena is a Hanover, Md.-based supplier of communications networking equipment and software.

Builders levels surface

Builders FirstSource’s $468 million term loan B (B3) due Feb. 29, 2024 also freed to trade, with levels quoted at par ¼ bid, par ¾ offered, according to a trader.

Pricing on the term loan B is Libor plus 300 bps with a 1% Libor floor, and it was sold at an original issue discount of 99.75. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan B was trimmed from Libor plus 325 bps.

Deutsche Bank Securities Inc. is leading the deal that will be used to reprice from Libor plus 375 bps with a 1% Libor floor and extend from July 31, 2022 an existing term loan B.

Closing is expected on Feb. 23.

Builders FirstSource is a Dallas-based building materials manufacturer and supplier.

Continental starts trading

Continental Building Products’ $274.3 million senior secured covenant-light term loan B due Aug. 18, 2023 hit the secondary market too, with levels seen at par 1/8 bid, par 3/8 offered, a market source remarked.

Pricing on the loan is Libor plus 250 bps with a 0.75% Libor floor, and it was issued at par. The debt has 101 soft call protection for six months.

Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC are the joint lead arrangers on the deal that will be used to reprice an existing term loan down from Libor plus 275 bps with a 0.75% Libor floor. Credit Suisse is the administrative agent.

Closing is expected in late February.

Continental Building is a Herndon, Va.-based manufacturer of wallboard and gypsum-based products.

Genex sets OID, breaks

Genex Holdings firmed the original issue discount on its fungible $33 million add-on first-lien term loan (B2/B) due May 30, 2021 at 99.5, the tight end of the 99.25 to 99.5 talk, a market source said.

Pricing on the add-on is Libor plus 425 bps with a 1% Libor floor, which matches existing first-lien term loan pricing.

With final terms in place, the add-on freed up for trading, and levels were quoted at par bid, par ¾ offered, a trader added.

RBC Capital Markets LLC and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to fund the acquisition of ECN.

Apax Partners LLP is the sponsor.

Genex is a Wayne, Pa.-based provider of integrated managed care services, focused on controlling health-care costs and reducing disability expenses.

TKC modifies loans

In other happenings, TKC Holdings increased its six-year first-lien term loan to $1.1 billion from $1.05 billion, set pricing at Libor plus 400 bps, the low end of the Libor plus 400 bps to 425 bps talk, and moved the original issue discount to 99.5 from 99, while leaving the 1% Libor floor and 101 soft call protection for six months intact, according to a market source.

Regarding the company’s seven-year second-lien term loan, it was trimmed to $260 million from $300 million, pricing was lowered to Libor plus 800 bps from talk of Libor plus 825 bps to 850 bps and the discount was changed to 98.5 from 98, the source said. This tranche still has a 1% Libor floor and call protection of 102 in year one and 101 in year two.

The company’s now $1.41 billion credit facility also includes a $50 million revolver.

Commitments were due at 5 p.m. ET on Thursday, accelerated from Tuesday, the source added.

Jefferies Finance LLC and KKR Capital Markets are leading the deal that will refinance existing debt and fund a distribution to shareholders, with Jefferies left on the first-lien and KKR left on the second-lien.

TKC is a St. Louis-based provider of commissary, food service and related technology products to the corrections industry, and a provider of in-room coffee service to hotels and motels.

V.Group changes emerge

V.Group raised its seven-year senior secured first-lien term loan B (B1/B) to $515 million from $495 million, cut pricing to Libor plus 300 bps from talk of Libor plus 325 bps to 350 bps, added a step-down to Libor plus 275 bps at either when net first-lien leverage is below 4.25 times or post an initial public offering, and modified the issue price to par from 99.5, a source said.

The first-lien term loan still has a 1% Libor floor and 101 soft call protection for six months.

In connection with the first-lien term loan upsizing, the company downsized its privately-placed second-lien term loan to $172.5 million from $192.5 million, the source continued.

The company’s credit facility also includes a $57.5 million revolver (B1/B).

Recommitments were due at the close of business on Thursday, the source added.

Goldman Sachs Bank USA, HSBC Securities (USA) Inc., Citigroup Global Markets Inc., RBS and RBC Capital Markets LLC are leading the deal that will be used to help fund the acquisition of a controlling stake in the company by Advent International from Omers Private Equity.

V.Group is a London-based marine and offshore vessel management and support services provider.

BJ’s Wholesale reworked

BJ’s Wholesale Club increased its seven-year covenant-light term loan B to $1,925,000,000 from $1.85 billion, cut pricing to Libor plus 375 bps from Libor plus 400 bps and revised the original issue discount to 99.75 from 99.5, while keeping the 1% Libor floor and 101 soft call protection for six months unchanged, according to a market source.

As for the eight-year covenant-light second-lien term loan, it was upsized to $625 million from $600 million, the spread was reduced to Libor plus 750 bps from Libor plus 800 bps and the discount was modified to 99 from 98, the source said. This tranche still has a 1% Libor floor and hard call protection of 102 in year one and 101 in year two.

Recommitments were due at 5 p.m. ET on Thursday, the source added.

Nomura and Jefferies Finance LLC are leading the deal that will be used to refinance existing debt and fund a dividend, with Nomura left on the first-lien and Jefferies left on the second-lien.

BJ’s is a Westborough, Mass.-based operator of warehouse clubs.

Acelity restructures

Acelity cut its U.S. covenant-light term loan to $1,085,000,000 from $1,115,000,000 and lifted its euro covenant-light term loan to €239 million from $225 million euro-equivalent, according to a market source.

Pricing on the U.S. term loan was set at Libor plus 325 bps, the low end of the Libor plus 325 bps to 350 bps talk, with the 1% Libor floor and original issue discount of 99.5 unchanged.

The euro term loan, meanwhile, saw pricing drop to Euribor plus 300 bps from talk of Euribor plus 325 bps to 350 bps and the discount tighten to 99.75 from 99.5, the source said. This tranche still has a 1% floor.

Also, the 101 soft call protection on both term loans was extended to one year from six months.

Commitments for the U.S. term loan were due at 5 p.m. ET on Thursday, the source added.

Bank of America Merrill Lynch is the left lead on the deal (B1), which that will be used with some of the proceeds from the sale of Acelity’s LifeCell business to Allergan for $2.9 billion in cash, to refinance existing term loans due in 2020 and 9 5/8% second-lien notes.

Acelity is a San Antonio-based advanced wound care and regenerative medicine company.

Terex flexes lower

Terex reduced pricing on its $400 million seven-year covenant-light first-lien term loan (BBB-) to Libor plus 250 bps from Libor plus 275 bps and tightened the original issue discount to 99.75 from 99.5, according to a market source.

As before, the term loan has a 0.75% Libor floor and 101 soft call protection for six months.

Commitments were due at 5 p.m. ET on Thursday, the source said.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to refinance existing debt.

Terex is a Westport, Conn.-based lifting and material handling solutions company.

National Vision moves deadline

National Vision accelerated the commitment deadline on its $175 million incremental first-lien term loan (B1/B) to 11 a.m. ET on Friday from Monday, a market source said.

The incremental term loan is talked at Libor plus 300 bps with a 1% Libor floor, an original issue discount of 99.01 to 99.25 and 101 soft call protection for six months.

KKR Capital Markets is leading the deal that will be used to fund a dividend.

National Vision is a Duluth, Ga.-based optical retailer.

Arclin releases talk

Also on the new deal front, Arclin held its bank meeting on Thursday morning, and shortly before the event kicked off, price talk on its $465 million seven-year covenant-light first-lien term loan and $140 million eight-year covenant-light second-lien term loan was announced, according to a market source.

The first-lien term loan is talked at Libor plus 475 bps to 500 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, and the second-lien term loan is talked at Libor plus 900 bps to 925 bps with a 1% Libor floor, a discount of 98.5 and call protection of 102 in year one and 101 in year two, the source said.

The company’s $680 million credit facility also includes a $75 million ABL revolver.

Commitments are due at 5 p.m. ET on Feb. 9.

Credit Suisse Securities (USA) LLC and RBC Capital Markets are leading the deal that will be used to help fund the buyout of the company by Lonestar.

Arclin is an Atlanta-based provider of surface overlay solutions and performance resins.

Ferro guidance

Ferro Corp. disclosed price talk on its $625 million seven-year covenant-light term loan B (Ba3/BB-), which includes a euro carve-out of $250 million equivalent, with its morning bank meeting, a market source remarked.

The U.S. tranche is talked at Libor plus 275 bps with a 0.75% Libor floor and an original issue discount of 99.5, and the euro tranche is talked at Euribor plus 275 bps to 300 bps with no Libor floor and a discount of 99.5, the source continued. Both tranches have 101 soft call protection for six months.

Commitments are due at the end of the day on Feb. 9.

Deutsche Bank Securities Inc., PNC Bank, Bank of America Merrill Lynch and HSBC Securities (USA) Inc. are leading the deal that will be used to refinance existing bank debt.

Ferro is a Mayfield Heights, Ohio-based functional coatings and color solutions provider that offers a portfolio of technology-based performance materials.

American Builders launches

American Builders & Contractors Supply surfaced in the morning with plans to hold a lender call at 2 p.m. ET to launch a repricing of its $1,875,000,000 term loan B due Oct, 31, 2023, a market source said.

The repriced loan is talked at Libor plus 225 bps with a step-down to Libor plus 200 bps at net first-lien leverage of 2.5 times, a 0.75% Libor floor, a par issue price and 101 soft call protection for six months, the source continued.

Commitments are due by 5 p.m. ET on Tuesday.

Deutsche Bank Securities Inc. is leading the deal that will reprice the existing term loan B down from Libor plus 275 bps with a 0.75% Libor floor.

With the repricing transaction, the company will pay existing lenders the 101 soft call premium.

American Builders is a Beloit, Wis.-based building products distributor.

Calpine discloses terms

Calpine came out with talk of Libor plus 200 bps with no Libor floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months on its $400 million senior secured covenant-light term loan B-8 due December 2019 that launched with a morning lender call, according to a market source.

Commitments are due at noon ET on Friday, the source said.

Morgan Stanley Senior Funding Inc., MUFG, Citigroup Global Markets Inc., Natixis, RBC Capital Markets, UBS Investment Bank and Goldman Sachs Bank USA are leading the deal that will be used to refinance the company’s 7 7/8% senior secured notes due 2023.

Calpine is a Houston-based generator of electricity from natural gas and geothermal resources.

PODS holds call

PODS held its lender call in the afternoon, launching its $620,770,858 senior secured covenant-light term loan B due Feb. 2, 2022 at talk of Libor plus 300 bps to 325 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Consents/commitments are due at 5 p.m. ET on Wednesday, the source added.

Morgan Stanley Senior Funding Inc. and Barclays are leading the deal that will be used to reprice an existing term loan B due 2022 from Libor plus 350 bps with a 1% Libor floor.

PODS is a Clearwater, Fla.-based provider of storage and moving containers.

WCA Waste repricing

WCA Waste launched during the session a repricing of its $299 million term loan B at talk of Libor plus 275 bps with no Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments are due on Tuesday, the source added.

SunTrust Robinson Humphrey Inc. is leading the deal that will reprice the existing term loan down from Libor plus 300 bps with a 1% Libor floor.

WCA is a Houston-based vertically integrated non-hazardous solid waste management company.

ESH readies deal

ESH Hospitality set a lender call for 10 a.m. ET on Friday to launch a repricing of its $1.3 billion covenant-light term loan B due August 2023 talked at Libor plus 250 bps with no Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

The repricing will take the term loan B down from Libor plus 300 bps with a 0.75% Libor floor, and the company will remove the existing step-down to Libor plus 275 bps upon receipt of a minimum of Ba3/BB- corporate ratings.

Commitments are due by the close of business on Feb. 2, the source said.

Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., Barclays, Credit Suisse Securities (USA) LLC and Macquarie Capital (USA) Inc. are leading the deal.

ESH is a subsidiary of Extended Stay America Inc., a Charlotte, N.C.-based owner/operator of company-branded hotels.

Go Daddy sets launch

Go Daddy will hold a lender call at 11 a.m. ET on Friday to launch a $2.47 billion seven-year senior secured term loan B, a market source said.

Barclays is the left bookrunner on the deal that will be used to refinance an existing term loan B and to fund the acquisition of Host Europe Group from Cinven for €1.69 billion, with €605 million paid to the sellers and €1.08 billion being assumed net debt that will be refinanced at closing.

Closing is expected in the second quarter, subject to customary regulatory and other closing requirements.

Go Daddy is a Scottsdale, Ariz.-based provider of web hosting and domain names. Host Europe is an England-based hosting provider and domain registrar.

Communications coming soon

Communications Sales & Leasing scheduled a lender call for Friday to launch a repricing of its $2.1 billion term loan B due October 2022 talked at Libor plus 275 bps to 300 bps with a 1% Libor floor, an informed source told Prospect News.

The repriced term loan is expected to include 101 soft call protection through October 2017, the source added.

Commitments are due on Feb. 2.

J.P. Morgan Securities LLC is leading the deal that will reprice the existing term loan down from Libor plus 350 bps with a 1% Libor floor.

Communications Sales & Leasing is a Little Rock, Ark.-based real estate investment trust engaged in the acquisition and construction of mission critical communications infrastructure.

TeamViewer on deck

TeamViewer will hold a bank meeting in London on Monday and a bank meeting at 1:30 p.m. ET in New York on Tuesday to launch a $550 million seven-year covenant-light first-lien term loan, that includes a $160 million euro-equivalent tranche, and a $215 million eight-year covenant-light second-lien term loan, a market source said.

Both term loans have a 1% Libor floor, 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.

Commitments are due at 5 p.m. ET on Feb. 13, the source added.

Bank of America Merrill Lynch, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Morgan Stanley Senior Funding Inc. and Nomura are leading the deal, with Bank of America left on the first-lien term loan and Credit Suisse left on the second-lien term loan.

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

TeamViewer is a Germany-based provider of secure remote support and access software.

Select Medical joins calendar

Select Medical set a lender call for 10 a.m. ET on Friday to launch a $1.15 billion seven-year term loan (BB-) talked at Libor plus 350 bps to 375 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

J.P. Morgan Securities LLC is leading the deal.

Proceeds will be used to refinance existing term loan E and term loan F borrowings.

Select Medical is a Mechanicsburg, Pa.-based health care company.

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