Vistra Zero, Entegris, Southern Veterinary break; Miter, Medline, Beacon updated

By Sara Rosenberg

New York, March 20 – Vistra Zero Operating Co. LLC trimmed the spread on its term loan B and revised the original issue discount, and Entegris Inc. firmed pricing on its first-lien term loan B at the low end of talk, and then these deals freed to trade on Wednesday.

Another deal to make its way into the secondary market during the session was Southern Veterinary Partners LLC’s incremental first-lien term loan.

In more happenings, Miter Brands Acquisition Holdco Inc. changed the size of its incremental term loan B-2, reduced the margin and modified the original issue discount, Medline Borrower LP firmed the spread and the issue price on its first-lien term loan at the tight end of guidance, and Beacon Roofing Supply Inc. upsized the add-on portion of its term loan B and updated the issue price.

Also, KinderCare Learning Cos. Inc. (Kuehg Corp.) increased the size of its incremental first-lien term loan B and adjusted the original issue discount, and Zekelman Industries Inc. set the issue price on its term loan B at the tight side of guidance and added a pricing step-down.

Furthermore, SupplyOne Inc. and Datavant (Ciox Health/CT Technologies Intermediate Holdings Inc.) released price talk with launch, and Paradigm (Outcomes Group Holdings Inc.), ECi Software Solutions, Dye & Durham, Tekni-Plex Inc. (Trident TPI Holdings Inc.) and Veritext joined this week’s new issue calendar.

Vistra Zero flexed, trades

Vistra Zero lowered pricing on its $700 million seven-year senior secured covenant-lite term loan B (Ba2/BBB-/BB) to SOFR plus 275 basis points from SOFR plus 300 bps and adjusted the original issue discount to 99.5 from 99, a market source remarked.

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

Recommitments were due at noon ET on Wednesday, and the term loan freed up in the afternoon, with levels quoted at 99 7/8 bid, par 3/8 offered, another source added.

Citigroup Global Markets Inc., Barclays, BMO Capital Markets, BofA Securities Inc., Goldman Sachs Bank USA, JPMorgan Chase Bank, KeyBanc Capital Markets, Mizuho, MUFG, Natixis, RBC Capital Markets, Bank of Nova Scotia, SMBC and Truist Securities are leading the deal that will be used for general corporate purposes, including acquiring the projects from other Vistra entities.

Closing is expected in the week of March 25.

Vistra Zero is a Vistra Corp. subsidiary that holds a 1.4 GW portfolio of six unlevered, operating, solar generation and energy storage assets.

Entegris firmed, breaks

Entegris set pricing on its $955 million senior secured covenant-lite first-lien term loan B due July 6, 2029 (Baa3/BB/BBB-) at SOFR plus 175 bps, the low end of the SOFR plus 175 bps to 200 bps talk, according to a market source.

The term loan still has a 0% floor, a par issue price and 101 soft call protection for six months.

Late in the day, the term loan began trading, with levels quoted at par bid, par ¼ offered, a trader added.

Morgan Stanley Senior Funding Inc., BofA Securities Inc., Barclays, Citigroup Global Markets Inc., Goldman Sachs Bank USA, PNC, Truist Securities and Wells Fargo Securities LLC are leading the deal that will be used to reprice an existing first-lien term loan due 2029 down from SOFR plus 250 bps with a 0% floor.

The existing term loan will be paid down by about $355 million from around $1.3 billion in connection with the repricing.

Closing is expected on March 28.

Entegris is a Billerica, Mass.-based supplier of advanced materials and process solutions for the semiconductor and other high-tech industries.

Southern Vet frees

Southern Veterinary Partners’ fungible $145 million incremental first-lien term loan due Oct. 5, 2027 (B2/B-) broke for trading too, with levels quoted at par ¼ bid, par 5/8 offered, a market source said.

Pricing on the incremental term loan is SOFR+CSA plus 400 bps with a 1% floor, in line with existing first-lien term loan pricing, and the new debt was sold at an original issue discount of 99.75. CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

During syndication, the discount on the incremental term loan was revised from 99.5.

Jefferies LLC and Golub Capital are leading the deal that will be used to refinance the company’s existing second-lien term loan.

Southern Veterinary is a Birmingham, Ala.-based provider of general practice veterinary services.

Miter revised

Miter Brands modified the size of its non-fungible seven-year incremental term loan B-2 (B1/BB-/BB+) to $1.654 billion from a revised amount of $1.854 billion and an initial size of $1.3 billion, according to market sources.

In addition, pricing on the term loan was cut to SOFR plus 350 bps from SOFR plus 375 bps and the original issue discount was tightened to 99.5 from 99, sources said.

As before, the term loan has a 0% floor and 101 soft call protection for six months.

Allocations are expected on Thursday morning, sources added.

RBC Capital Markets is the left lead on the deal that will be used with $700 million of senior secured notes, upsized from $500 million, and equity from Koch Equity Development LLC, a current investor in Miter, to fund the acquisition of PGT Innovations Inc. for $42.00 per share in cash, or an enterprise value of about $3.1 billion, and, due to the overall upsizing of the debt financing, to repay an existing term loan.

Closing is expected by mid-year, subject to PGT shareholder and regulatory approvals.

Miter is a manufacturer of precision-built windows and doors. PGT is a North Venice, Fla.-based designer and manufacturer of patio door and window solutions.

Medline updated

Medline finalized pricing on its $6.143 billion first-lien term loan due Oct. 21, 2028 (B1/B+/BB-) at SOFR plus 275 bps, the low end of the SOFR plus 275 bps to 300 bps talk, and set the issue price at par, the tight end of the 99.875 to par talk, a market source said.

The term loan still has a 0.5% floor, 101 soft call protection for six months, no CSA and no leverage-based pricing grid.

Allocations are expected on Thursday, the source added.

BofA Securities Inc., Goldman Sachs Bank USA and others are leading the deal that will be used to revise an existing term loan B due Oct. 21, 2028 priced at SOFR+CSA plus 300 bps with a leverage-based pricing grid and 0.5% floor. Current CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

With this transaction, the existing term loan is being paid down by $1 billion to roughly $6.143 billion with proceeds from a $1 billion senior secured notes offering.

Medline is a Northfield, Ill.-based manufacturer and distributor of health care supplies.

Beacon reworked

Beacon Roofing Supply increased the fungible add-on portion of its covenant-lite term loan B due May 19, 2028 to $300 million from $200 million and modified the issue price to par from 99.75, according to a market source.

Pricing on the add-on, as well as on the company’s $975 million repriced covenant-lite term loan B due May 19, 2028, remained at SOFR plus 200 bps with a 0% floor, the repricing still has a par issue price, and the debt still has 101 soft call protection for six months.

Recommitments were due at 5 p.m. ET on Wednesday, with allocations expected on Thursday, the source added.

Citigroup Global Markets Inc. is leading the deal.

The add-on term loan will be used for general corporate purposes and the repricing will take the existing term loan down from SOFR plus 225 bps with a 0% floor.

Beacon Roofing is a Herndon, Va.-based distributor of roofing materials and complementary building products.

KinderCare modified

KinderCare Learning lifted its fungible incremental first-lien term loan B due June 12, 2030 to $265 million from $250 million and changed the original issue discount to 99.75 from 99, a market source remarked.

Like the existing term loan, the incremental term loan is priced at SOFR plus 500 bps with a 0.5% floor.

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

Barclays, Macquarie Capital (USA) Inc., Goldman Sachs Bank USA, Deutsche Bank Securities Inc., UBS Investment Bank, Jefferies LLC, KKR Capital Markets and Citizens are leading the deal that will be used for general corporate purposes, including a potential distribution to shareholders and/or potential mergers and acquisitions, and to pay transaction expenses.

KinderCare is a Lake Oswego, Ore.-based provider of private early childhood care and education.

Zekelman tweaked

Zekelman Industries set the original issue discount on its $900 million term loan B due Jan. 24, 2031 (Ba3/BBB-) at 99.75, the tight end of the 99.5 to 99.75 talk, and added a 25 bps pricing step-down at Ba1/BB+ or better corporate ratings, a market source said.

Pricing on the term loan remained at SOFR plus 225 bps with a 0% floor, and the debt still has 101 soft call protection for six months.

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

Goldman Sachs Bank USA and BofA Securities Inc. are leading the deal that will be used to amend, extend and modestly upsize the company’s existing senior secured term loan B.

Zekelman Industries is a Chicago-based steel and pipe producer.

SupplyOne guidance

SupplyOne held its lender call on Wednesday morning and announced talk on its $770 million seven-year term loan B (B2/B) at SOFR plus 450 bps with a 0% floor, an original issue discount of 98 and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on March 27.

RBC Capital Markets is the left lead on the deal that will be used to refinance an existing private credit deal.

SupplyOne, a Wellspring portfolio company, is a distributor of corrugated and other value-added packaging products, equipment and services.

Datavant talk

Datavant came out with price talk of SOFR plus 425 bps to 450 bps with an original issue discount of 99 to 99.5 on its roughly $652 million first-lien term loan due December 2028 that launched with a lender call in the morning, a market source said.

The term loan has 101 soft call protection for six months.

The company’s roughly $752 million of credit facilities (B) also include a $100 million upsized revolver due December 2028.

Commitments are due at noon ET on March 27.

UBS Investment Bank, Goldman Sachs Bank USA and Deutsche Bank Securities Inc. are leading the deal, which will be used to extend the company’s existing revolver and term loan by three years.

Datavant, backed by New Mountain Capital, is an Alpharetta, Ga.-based health care data logistics company.

Paradigm readies deal

Paradigm set a lender call for 10:30 a.m. ET on Thursday to launch $800 million of credit facilities, according to a market source.

The facilities consist of a $100 million five-year revolver and a $700 million seven-year first-lien term loan, the source said.

The term loan has 101 soft call protection for six months.

Commitments are due at 5 p.m. ET on April 1, the source added.

UBS Investment Bank is the left lead on the deal that will be used to refinance existing first- and second-lien credit facilities.

Omers Private Equity is the sponsor.

Paradigm is a Walnut Creek, Calif.-based accountable, specialty care management organization.

ECi joins calendar

ECi Software scheduled a lender call for 11 a.m. ET on Thursday to launch a roughly $981 million first-lien term loan B due May 9, 2030, a market source remarked.

The term loan has 101 soft call protection for six months, the source added.

BofA Securities Inc. is the left lead on the deal that will be used to extend the maturity date of an existing term loan B.

ECi is a Westlake, Tex.-based provider of enterprise resource planning solutions.

Dye & Durham on deck

Dye & Durham will hold a lender call at 11 a.m. ET on Thursday to launch a $367 million term loan B, according to a market source.

Goldman Sachs Bank USA is the left lead on the deal that will be used with $500 million of other secured debt to refinance the company’s existing first-lien capital structure and repay convertible debentures due 2026.

Dye & Durham is a provider of cloud-based software and technology solutions to law firms.

Tekni-Plex coming soon

Tekni-Plex set a lender call for 1:30 p.m. ET on Thursday to launch an $875.6 million first-lien term loan B-5 due Sept. 17, 2028, a market source said.

Talk on the term loan is SOFR plus 400 bps with a 0.5% floor, an original issue discount of 99.75 to par and 101 soft call protection for six months, the source added.

Commitments/consents are due at noon ET on March 27.

UBS Investment Bank is the left lead on the deal that will be used to reprice an existing term loan.

Tekni-Plex is a Wayne, Pa.-based provider of health care and consumer material solutions.

Veritext plans repricing

Veritext set a lender call for noon ET on Thursday to launch a $940 million term loan B due August 2030 talked at SOFR plus 350 bps to 375 bps with a 0.5% floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due at 4 p.m. ET on Tuesday, the source added.

Goldman Sachs Bank USA is the left lead on the deal that will be used to reprice an existing term loan B due August 2030 down from SOFR plus 425 bps with a 0.5% floor.

Veritext is a Livingston, N.J.-based deposition service provider, assisting law firms and corporations in facilitating litigation proceedings.

StandardAero allocates

In other news, StandardAero (Dynasty Acquisition Co.) allocated its $1,993,487,500 term loan B-1 due August 2028 and $768,637,500 term loan B-2 due Aug. 24, 2028 on Wednesday, a market source remarked.

The term loan B-1 includes a $200 million fungible incremental piece that will be used to repay existing unsecured notes, and the remainder is a repricing of the existing term loan B-1 at the U.S. borrower down from SOFR plus 400 bps with a 0% floor. The term loan B-2 is being used to reprice an existing term loan B-2 at the Canadian borrower down from SOFR plus 400 bps with a 0% floor.

Pricing on the term loans (B3/B-) is SOFR plus 350 bps with a 0% floor. Rolled positions received a par issue price and new commitments received an original issue discount of 99.875. The term loan debt has 101 soft call protection for six months.

During syndication, the issue price for rolled positions firmed at the tight end of the 99.75 to par talk, and the discount for new commitments was revised from 99.5.

UBS and Carlyle are leading the deal. Credit Suisse is the administrative agent.

StandardAero is a Scottsdale, Ariz.-based provider of aircraft engine maintenance, repair and overhaul services for the aerospace and defense industries.

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