Cox, Calpine, AmWINS, Everi, Herbalife, Hostess break; WIRB, Berry, TRC changes emerge

By Sara Rosenberg

New York, Dec. 12 – Cox Media Group (Terrier Media Buyer Inc.) upsized its term loan B, firmed pricing at the high side of talk and tightened the original issue discount, and Calpine Corp. set the spread on its first-lien term loan B-9 at the low end of guidance, and then both of these transactions began trading on Thursday.

Also, AmWINS Group Inc. revised the original issue discount on its add-on term loan B before breaking for trading, and deals from Everi Payments Inc., Herbalife Nutrition Ltd. (HLF Financing SaRL LLC) and Hostess Brands LLC surfaced in the secondary market as well.

In more happenings, WIRB-Copernicus Group lowered pricing on its first-lien term loan, extended the call protection and made a number of revisions to documentation, and Berry Global Group Inc. reduced the spread on its term loan Y, eliminated a pricing step-down and modified the issue price.

Furthermore, TRC Cos. Inc. increased the size of its incremental first-lien term loan, raised the spread and widened the original issue discount, Refinitiv launched a repricing of its term loan B, Calpine Corp. came to market with a term loan B-5 repricing transaction, and NFP Corp. released price talk on its incremental term loan with launch.

Cox modified, frees up

Cox Media Group lifted its seven-year term loan B to $2.025 billion from $1.875 billion, set pricing at Libor plus 425 basis points, the high end of the Libor plus 400 bps to 425 bps talk, and adjusted the original issue discount to 99.5 from 99, according to a market source.

The term loan B still has a 0% Libor floor and 101 soft call protection for six months.

The company’s $2.35 billion of credit facilities (Ba3/BB-) also include a $325 million five-year revolver.

On Thursday night, the term loan B broke for trading, with levels quoted at 99¾ bid, par ½ offered, a trader added.

RBC Capital Markets, J.P. Morgan Securities LLC, Citigroup Global Markets Inc., Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc. and Mizuho are leading the deal that will be used with $1.015 billion of senior unsecured notes, downsized from $1.165 billion, to help fund the buyout of the company by Apollo Global Management Inc. from Cox Enterprises Inc.

Closing is expected this month.

Cox Media is an Atlanta-based broadcasting, publishing, direct marketing and digital media company.

Calpine updated, trades

Calpine finalized pricing on its $947,625,000 first-lien term loan B-9 (Ba2/BB) due April 1, 2026 at Libor plus 225 bps, the tight end of the Libor plus 225 bps to 250 bps talk, according to a market source.

As before, the term loan B-9 has a 0% Libor floor, a par issue price and 101 soft call protection for six months.

Commitments were due at noon ET on Thursday and the loan emerged in the secondary market in the afternoon, with levels quoted at par 3/8 bid, par 7/8 offered, another source added.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing term loan B-9 down from Libor plus 275 bps.

Calpine is a Houston-based provider of power generation services.

AmWINS tweaked, breaks

AmWINS tightened the original issue discount on its fungible $250 million add-on first-lien term loan B (Ba3/B+) due Jan. 25, 2024 to 99.5 from 99.05, a market source remarked.

The add-on term loan is priced at Libor plus 275 bps with a 1% Libor floor, in line with the existing term loan, and has 101 soft call protection for six months.

Recommitments were due at noon ET on Thursday and the add-on term loan began trading in the afternoon, with levels seen at par ½ bid, 101¼ offered, another source added.

Goldman Sachs Bank USA, Barclays, J.P. Morgan Securities LLC, Morgan Stanley Senior Funding Inc. and Wells Fargo Securities LLC are leading the deal that will be used with a $250 million note offering and cash on hand to fund a dividend to shareholders.

Closing is expected during the week of Dec. 16.

AmWINS is a Charlotte, N.C.-based specialty insurance broker.

Everi starts trading

Everi Payments’ $751.5 million senior secured first-lien term loan (Ba3/BB/BB+) due May 2024 also broke for trading, with levels quoted at par 1/8 bid, par ½ offered, according to a market source.

Pricing on the term loan is Libor plus 275 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC is leading the deal that will reprice an existing term loan down from Libor plus 300 bps.

As of Sept. 30, Everi had $782 million outstanding under the term loan, but the company is offering 10 million shares of its common stock and intends to use some of the net proceeds to repay $30.5 million of the existing term loan balance.

Everi is a Las Vegas-based provider of video and mechanical reel gaming content and solutions, integrated gaming payment solutions and compliance and efficiency software solutions.

Herbalife hits secondary

Herbalife’s $742.5 million senior secured first-lien term loan B (Ba1/BB+) due August 2025 freed to trade as well, with levels seen at par bid, par ½ offered, a market source remarked.

Pricing on the term loan is Libor plus 275 bps with a 0% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

Jefferies LLC is leading the deal that will be used to reprice an existing term loan B down from Libor plus 325 bps.

Herbalife is a Los Angeles-based nutrition and weight management company.

Hostess tops OID

Hostess Brands’ fungible $140 million covenant-lite add-on term loan (BB-) due August 2025 began trading too, with levels seen at par bid, par ½ offered, a market source said.

Like the existing term loan, the add-on term loan is priced at Libor plus 225 bps with a 0.75% Libor floor and has 101 soft call protection until April 1, 2020. The add-on loan was sold at an original issue discount of 99.75.

On Wednesday, the discount on the add-on term loan was revised from 99.25.

Credit Suisse Securities (USA) LLC, Citigroup Global Markets Inc., Nomura and Morgan Stanley Senior Funding Inc. are leading the deal that will be used with cash on hand to fund the acquisition of Voortman Cookies Ltd. from Swander Pace Capital for about $320 million in cash, including a customary working capital adjustment.

Closing is expected in early January, subject to customary conditions.

Post-synergy pro forma leverage is anticipated to be 4.5x.

Hostess is a Kansas City, Mo.-based packaged food company. Voortman is a Burlington, Ont.-based manufacturer of wafers as well as sugar-free and specialty cookies.

WIRB-Copernicus revised

Back in the primary market, WIRB-Copernicus Group trimmed pricing on its $920 million first-lien term loan (B2/B) to Libor plus 400 bps from talk in the range of Libor plus 425 bps to 450 bps and extended the 101 soft call protection to one year from six months, while leaving the 1% Libor floor and original issue discount of 99 unchanged, according to a market source.

Additionally, the MFN was revised to 50 bps with a 12-month sunset from 50 bps with a six-month sunset and carve-outs were removed for permitted investments and amounts incurred under ratio basket. The MFN applies to pari passu permitted ratio debt and incremental equivalent debt in the form of term loan B.

Documentation changes were also made to inside maturity, ratio debt, liens, unlimited investment amounts, junior debt prepayments, restricted payments, excess cash flow sweep and EBITDA definition, and the company is now required to hold quarterly lender calls, the source continued.

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

WIRB-Copernicus leads

Barclays, Morgan Stanley Senior Funding Inc., Goldman Sachs Bank USA, BMO Capital Markets, Golub Capital and HSBC Securities (USA) Inc. are leading WIRB-Copernicus’ $1.39 billion of credit facilities, which also include a $125 million revolver (B2/B) and a $345 million privately placed second-lien term loan.

The new debt will be used to help fund the buyout of the company by Leonard Green & Partners LP.

Closing is expected in the first quarter of 2020, subject to customary approvals.

WIRB-Copernicus is a Princeton, N.J.-based provider of clinical trial optimization solutions.

Berry sets changes

Berry Global trimmed pricing on its $3.85 billion term loan Y due July 2026 to Libor plus 200 bps from Libor plus 225 bps, removed the pricing step-down at 0.5x inside closing date total net leverage and changed the original issue discount to 99.875 from par, a market source said.

The term loan Y still has a 0% Libor floor and 101 soft call protection for six months.

Recommitments are due at noon ET on Friday, the source added.

Goldman Sachs Bank USA is leading the deal that will be used to refinance/reprice an existing $4.25 billion term loan U priced at Libor plus 250 bps.

Additional funds for the transaction will come from a portion of the proceeds raised through the sale of €1,075,000,000 of senior secured notes.

Berry is an Evansville, Ind.-based manufacturer and marketer of plastic packaging products, plastic film products, specialty adhesives and coated products.

TRC reworks loan

TRC lifted its incremental first-lien term loan to $219.3 million from $215 million, flexed pricing to Libor plus 500 bps from talk in the range of Libor plus 375 bps to 400 bps and changed the original issue discount to 98.5 from 99.5, according to a market source.

The incremental term loan still has a 1% Libor floor.

Included in the loan is 101 soft call protection for six months and 50 bps of MFN for life.

Commitments are due at 5 p.m. ET on Monday, the source said.

UBS Investment Bank, Barclays, Citizens Bank and Macquarie Capital (USA) Inc. are leading the deal that will be used to fund an acquisition.

TRC is a Lowell, Mass.-based engineering, environmental consulting and construction management firm.

Refinitiv details emerge

Refinitiv held its lender call on Thursday and launched a $6.451 billion term loan B talked at Libor plus 325 bps to 350 bps with no Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on Tuesday, the source added.

BofA Securities Inc. is leading the deal that will be used to reprice an existing term loan B down from Libor plus 375 bps.

Refinitiv is a data and financial technology platform.

Calpine repricing B-5

On the same day that the term loan B-9 repricing wrapped up, Calpine launched to investors a $1.532 billion first-lien term loan B-5 (Ba2/BB) due Jan. 15, 2024 at talk of Libor plus 225 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on Monday, the source said.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to reprice an existing term loan B-5 down from Libor plus 250 bps.

Calpine is a Houston-based provider of power generation services.

NFP reveals guidance

NFP, in connection with its lender call on Thursday, came out with original issue discount talk of 99.04 on its fungible $175 million incremental term loan B, which was upsized from $125 million, a market source remarked.

The incremental term loan is priced at Libor plus 300 bps with a 0% Libor floor.

Commitments are due at noon ET on Friday.

BofA Securities Inc. is leading the deal that will be used for mergers and acquisitions.

NFP is a New York-based insurance broker and consultant.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.