EaglePicher reveals first- and second-lien term loan talk with launch

By Sara Rosenberg

New York, Feb. 13 – EaglePicher Technologies LLC disclosed price talk on its $405 million seven-year first-lien term loan and $160 million eight-year second-lien term loan with its bank meeting on Tuesday, according to a market source.

The first-lien term loan is talked at Libor plus 325 basis points to 350 bps with one 25 bps leverage-based step-down, a 0% Libor floor and an original issue discount of 99.5, and the second-lien term loan is talked at Libor plus 725 bps with a 0% Libor floor and a discount of 99, the source said.

Included in the first-lien term loan is 101 soft call protection for six months, and the second-lien term loan has hard call protection of 102 in year one and 101 in year two.

The company’s $615 million of senior secured credit facilities also provide for a $50 million five-year revolver.

Jefferies LLC, Barclays and RBC Capital Markets are the arrangers on the deal.

Commitments are due on Feb. 27, the source added.

Proceeds will be used to help fund the buyout of the company by GTCR from Apollo Global Management LLC.

Closing is expected this quarter.

EaglePicher is a St. Louis-based provider of mission-critical power and energy solutions for high-value applications within the defense, aerospace and medical end markets.

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