Ring Container lifts term loan to $475 million, trims pricing

By Sara Rosenberg

New York, Sept. 28 – Ring Container Technologies upsized its seven-year covenant-light term loan to $475 million from $445 million and reduced pricing to Libor plus 275 basis points from talk of Libor plus 300 bps to 325 bps, according to a market source.

Also, the 101 soft call protection on the term loan was extended to one year from six months and the debt now has 50 bps of MFN with no carve-outs, the source said.

The term loan still has a 0% Libor floor and an original issue discount of 99.5.

The company is also getting a $30 million delayed-draw term loan that has a ticking fee of 35 bps from days 61 to 120, half the margin from days 121 to 180 and Libor plus the full margin thereafter.

Bank of America Merrill Lynch, BMO Capital Markets and Antares Capital are the joint lead arrangers on the deal.

Commitments were scheduled to be due at noon ET on Thursday, the source added.

Proceeds will be used to help fund the buyout of the company by MSD Partners LP from Carl Ring and his family.

Closing is expected in the fourth quarter.

Ring Container is an Oakland, Tenn.-based blow molder of high-density polyethylene and polyethylene terephthalate plastic bottles for the food service, retail food and other end-use markets.

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