Golden Nugget, Harland Clarke deal updates surface; Digicert moves up commitment deadline

By Sara Rosenberg

New York, Sept. 11 – In the primary market on Monday, Golden Nugget Inc. lowered the spread on its incremental first-lien term loan, Harland Clarke Holdings Corp. upsized its incremental term loan B-6 and tightened the original issue discount, and Digicert Holdings Inc. accelerated the commitment deadline on its credit facilities.

Furthermore, Avolon, BCP Renaissance Parent LLC (Blackstone), Traverse Midstream Partners LLC, Allison Transmission Inc., Chobani LLC, LA Fitness (Fitness International LLC), U.S. Farathane LLC and Sebia released talk with launch, and Anvil International and International Equipment Solutions LLC joined this week’s primary calendar.

Golden Nugget revised

Golden Nugget trimmed pricing on its $1.08 billion incremental first-lien term loan (Ba3) due October 2023 to Libor plus 325 basis points from Libor plus 350 bps and left the 0.75% Libor floor, original issue discount of 99.5 and 101 soft call protection for six months unchanged, according to a market source.

Commitments are due at 4 p.m. ET on Tuesday, moved up from Thursday, the source said.

Jefferies LLC, Citigroup Global Markets Inc., Rabobank, KeyBanc Capital Markets LLC and Citizens Bank are leading the deal that will be used with a $745 million add-on senior unsecured notes offering and a $670 million subordinated notes offering to refinance existing debt and fund a shareholder distribution.

With the incremental term loan, pricing on the company’s existing term loan will be lifted from Libor plus 275 bps with a 0.75% Libor floor to match the new loan pricing.

Golden Nugget, formerly known as Landry’s Inc., is a diversified restaurant, hospitality and entertainment company.

Harland reworks loan

Harland Clarke raised its incremental covenant-light first-lien term loan B-6 (B1/BB-) due February 2022 to $125 million from $100 million and changed the original issue discount to 99.875 from 99.5, a market source remarked.

Pricing on the incremental term loan remained at Libor plus 550 bps with a 1% Libor floor, in line with existing term loan B-6 pricing, and the new debt still has a ticking fee of half the margin from days 31 to 60 and the full margin thereafter.

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

Credit Suisse Securities (USA) LLC is leading the deal that will be used to fund the acquisition of MaxPoint Interactive for $13.86 per share in cash. The transaction has an equity value of about $95 million.

Closing is expected in the fourth quarter.

Harland Clarke is a San Antonio-based provider of media delivery, payment solutions and marketing services. MaxPoint is a Morrisville, N.C.-based marketing technology company.

Digicert changes deadline

Digicert accelerated the commitment deadline on its $1.59 billion of senior secured credit facilities to Friday from Sept. 21, according to a market source.

The facilities consist of a $90 million revolver (B+/BB+), a $300 million first-lien term loan B-1 (B+/BB+) due Dec. 31, 2020, a $900 million seven-year first-lien term loan B-2 (B+/BB+) and a $300 million eight-year second-lien term loan (CCC+/BB-).

Talk on the term loan B-1 is Libor plus 400 bps with a 1% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, talk on the term loan B-2 is Libor plus 500 bps with a 1% Libor floor, a discount of 99 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 850 bps with a 1% Libor floor, a discount of 99 and hard call protection of 102 in year one and 101 in year two.

DigiCert funding acquisition

Proceeds from DigiCert’s credit facilities will be used to finance the purchase of Symantec Corp.’s Website Security and related PKI solutions for about $950 million in cash and around a 30% stake in the common stock equity of the DigiCert business at the closing of the transaction.

UBS Investment Bank, Credit Suisse Securities (USA) LLC, Jefferies LLC, Macquarie Capital (USA) Inc. and Goldman Sachs Bank USA are leading the debt.

Closing is expected in the third quarter of fiscal 2018, subject to customary conditions.

DigiCert is a Lehi, Utah-based provider of scalable security solutions.

Avolon seeks repricing

Also in the primary market, Avolon emerged in the morning with plans to hold a lender call at noon ET on Monday to launch a $5 billion senior secured term loan B-2 (Ba1/BBB-) due April 3, 2022, according to a market source.

Talk on the loan is Libor plus 225 bps to 250 bps with a 0.75% Libor floor, a par issue price and 101 soft call protection for six months, the source said.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to reprice an existing term loan B-2 from Libor plus 275 bps with a 0.75% Libor floor.

Commitments/consents are due at 5 p.m. ET on Thursday, the source added.

Avolon is an Ireland-based provider of aircraft leasing and lease management services.

BCP discloses guidance

BCP Renaissance Parent came out with talk of Libor plus 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months on its $1.2 billion seven-year senior secured term loan B that launched with a lenders’ presentation in the morning, a market source remarked.

Commitments are due at noon ET on Sept. 22, the source added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to finance the acquisition of the Rover Pipeline, to fund the debt service reserve account and debt service during the construction phase, to put cash on the balance sheet, to fund all or a portion of the installment payments to the seller, and to finance the borrower’s portion of the development, construction and operating costs associated with Rover.

Blackstone in July signed an agreement to purchase from Energy Transfer Partners LP a 49.9% interest in HoldCo, which owns a 65% interest in Rover Pipeline LLC, for about $1.57 billion in cash.

Upon completion, the Rover Pipeline will be an approximately 700 mile pipeline designed to transport 3.25 billion cubic feet of natural gas per day from the Marcellus and Utica Shale production areas.

Traverse floats talk

Traverse Midstream Partners held its afternoon bank meeting and, with the event, talk on its $1,135,000,000 seven-year first-lien term loan (B1/B+) was announced at Libor plus 425 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for one year, according to a market source.

Commitments are due on Sept. 22.

Deutsche Bank Securities Inc. and J.P. Morgan Securities LLC are leading the deal that will be used to fund the construction costs for Rover Pipeline and to refinance existing debt.

Traverse is an Edmond, Okla.-based midstream company that owns a 35% joint venture interest in Rover Pipeline and a 25% joint venture interest in Ohio River System.

Allison details surface

Allison Transmission launched on its afternoon call a $982 million senior secured covenant-light term loan B-3 due September 2022 talked at Libor plus 175 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source said.

Existing lender commitments are due at noon ET on Sept. 20, new money commitments are due at noon ET on Sept. 21 and closing is expected during the week of Sept. 25, the source added.

Citigroup Global Markets Inc., Bank of America Merrill Lynch, Fifth Third Bank, BMO Capital Markets, Barclays, J.P. Morgan Securities LLC, SMBC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA and MUFG are leading the deal that.

Proceeds will be used to reprice an existing term loan B-3 from Libor plus 200 bps with a 0% Libor floor, and with the repricing, the company will pay down $200 million of the term loan B-3 (bringing the pro forma total to $982 million) using a portion of the proceeds from a $500 million senior unsecured notes offering.

Remaining proceeds from the notes will be used for general corporate purposes.

The company also plans to increase the commitments under its revolver to $550 million from $450 million.

Allison Transmission is an Indianapolis-based automatic transmission company and supplier of hybrid-propulsion systems.

Chobani holds call

Chobani hosted a lender call at 11 a.m. ET at which time investors were presented with an $821 million covenant-light term loan B due October 2023 talked at Libor plus 325 bps to 350 bps with a 1% Libor floor, a par issue price and 101 soft call protection for six months, according to a market source.

Commitments are due on Friday, the source said.

Bank of America Merrill Lynch, J.P. Morgan Securities LLC, TD Securities (USA) LLC and KeyBanc Capital Markets LLC are leading the deal that will be used to reprice an existing term loan B from Libor plus 425 bps with a 1% Libor floor.

Chobani is a Norwich, N.Y.-based producer of Greek yogurt.

LA Fitness repricing

LA Fitness held a lender call at 2 p.m. ET to launch a $780 million covenant-light term loan B due July 2020 talked at Libor plus 325 bps to 350 bps with a 0% Libor floor, a par issue price and 101 soft call protection for six months, a market source remarked.

Commitments are due on Friday, the source added.

Bank of America Merrill Lynch is leading the deal that will be used to reprice an existing term loan B from Libor plus 425 bps with a 1% Libor floor.

LA Fitness is an Irvine, Calif.-based non-franchised fitness club operator.

U.S. Farathane launches

U.S. Farathane launched on its call a $50 million add-on term loan B and a repricing of its existing roughly $525 million term loan B at talk of Libor plus 350 bps to 375 bps with a 1% Libor floor and 101 soft call protection for one year, a market source said.

Original issue discount talk on the add-on term loan is 99.25 to 99.5 and the repricing is offered at par, but existing lenders will get a 15 bps amendment fee.

Commitments are due on Thursday, the source added.

Bank of America Merrill Lynch, KKR Capital Markets and Barclays are leading the deal.

The add-on term loan will be used to fund a dividend and the repricing will take the existing term loan down from Libor plus 400 bps with a 1% Libor floor.

U.S. Farathane is an Auburn Hills, Mich.-based manufacturer of single-shot and multi-shot injection molded, compression molded and extruded components and assemblies, primarily for use in lightweight vehicles.

Sebia reveals talk

Sebia held its bank meeting on Monday, launching its $225 million seven-year covenant-light first-lien term loan B at talk of Libor plus 350 bps to 375 bps with a 0% Libor floor and an original issue discount of 99.5, and its €620 million seven-year covenant-light first-lien term loan B at talk of Euribor plus 350 bps with a 0% floor and a discount of 99.75, according to a market source.

The first-lien term loans have 101 soft call protection for six months.

The company is also getting a €20 million revolver, and a €185 million eight-year covenant-light holdco PIK facility talked at Euribor plus 775 bps to 800 bps cash/Euribor plus 850 bps to 875 bps PIK with a 0.75% floor, a discount of 98.5 to 99 and call protection of non-callable for one year, the source said.

Commitments are due on Sept. 22.

Nomura is leading the deal that will be used to help fund the acquisition of a significant minority stake in the company by Caisse de depot et placement du Quebec and to refinance existing debt.

Closing is subject to customary clearance of regulatory authorities.

Sebia is a France-based multi-specialty in-vitro diagnostics company.

Anvil readies loan

Anvil International set a lender call for Tuesday to launch a $265 million term loan B that is talked at Libor plus 425 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, a market source remarked.

Commitments are due on Sept. 26, the source added.

J.P. Morgan Securities LLC is leading the deal that will be used for acquisition financing and general corporate purposes.

Anvil, a One Equity Partners portfolio company, is an Exeter, N.H.-based manufacturer and supplier of pipe fittings, pipe hangers and piping supports systems.

International Equipment on deck

International Equipment Solutions scheduled a lender call for 1:30 p.m. ET on Tuesday to launch a $215 million term loan B due August 2022, according to a market source.

Bank of America Merrill Lynch and PNC Capital Markets LLC are leading the deal that will be used to refinance an existing term loan.

International Equipment is an Oak Brook, Ill.-based equipment company.

Flexera moves call time

In other news, Flexera Software LLC revised the time for its lender call on Tuesday to 2 p.m. ET from 1 p.m. ET, a market source remarked.

As previously reported, the company intends to launch on the call a fungible $130 million add-on term loan.

Jefferies LLC is leading the new debt that will be used to fund an acquisition.

Flexera is an Itasca, Ill.-based software company.

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