Ali Group breaks; Informatica, Virgin Pulse updated; Chamberlain, Multi-Color set talk

By Sara Rosenberg

New York, Oct. 13 – Ali Group trimmed pricing on its term loan B and extended the call protection, and then the debt made its way into the secondary market on Thursday.

In more happenings, Informatica LLC increased the size of its U.S. first-lien term loan, and tightened the spread and original issue discount, and terminated plans for a euro first-lien term loan, and Virgin Pulse firmed the original issue discount on its first- and second-lien term loans at the tight end of guidance.

Also, Chamberlain Group LLC (Chariot Buyer LLC), Multi-Color Corp., UFC Holdings LLC, McGraw-Hill Education Inc. and Precisely released price talk with launch.

Furthermore, AppLovin Corp., Atlantic Aviation (KKR Apple Bidco LLC), GreenWaste Recovery and Entertainment Partners joined this week’s new issue calendar.

Ali flexes, frees up

Ali Group lowered pricing on its $2.25 billion seven-year term loan B (Baa3/BB+) to Libor plus 200 basis points from talk in the range of Libor plus 225 bps to 250 bps and pushed out the 101 soft call protection to one year from six months, according to a market source.

As before, the term loan has a 0% Libor floor, an original issue discount of 99, and ticking fees of half the margin from days 46 to 90 and the full margin thereafter.

On Wednesday, the term loan B broke for trading, with levels quoted at 99½ bid, par offered, another source added.

Goldman Sachs and Mediobanca are leading the deal that will be used to help fund the acquisition of Welbilt Inc. for $24.00 per share, or about $3.5 billion in aggregate equity value and $4.8 billion in enterprise value, to refinance Welbilt debt and to add cash to the balance sheet.

Closing is expected in early 2022, subject to customary conditions, including Welbilt shareholder approval.

Ali is a Milan, Italy-based foodservice equipment company. Welbilt is a New Port Richey, Fla.-based commercial foodservice equipment company.

Informatica revised

Informatica lifted its U.S. first-lien term loan (B1/BB-) to $1.875 billion from $1.425 billion and cancelled plans for a €387 million first-lien term loan (B1/BB-), a market source remarked.

The company also lowered pricing on its U.S. term loan to Libor plus 275 bps from Libor plus 300 bps and changed the original issue discount to 99.875 from talk in the range of 99.5 to 99.75, the source continued.

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

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

The euro term loan had been talked at Euribor plus 325 bps with a 0% floor, an original issue discount of 99.75 to par and 101 soft call protection for six months.

JPMorgan Chase Bank, Goldman Sachs Bank USA, Citigroup Global Markets Inc., BofA Securities Inc., Credit Suisse Securities (USA) LLC, RBC Capital Markets, Deutsche Bank Securities Inc., Wells Fargo Securities LLC, UBS Investment Bank and Nomura are leading the deal that will be used with funds from an initial public offering of class A common stock to refinance existing debt.

Informatica is a Redwood City, Calif.-based provider of enterprise cloud data management software and services.

Virgin Pulse updated

Virgin Pulse set the original issue discount on its $35 million add-on first-lien term loan and $15 million add-on second-lien term loan at 99.5, the tight end of the 99.25 to 99.5 talk, a market source said.

The add-on first-lien term loan is priced at Libor plus 400 bps with a 0.75% Libor floor and the add-on second-lien term loan is priced at Libor plus 725 bps with a 0.75% Libor floor.

KKR Capital Markets and JPMorgan Chase Bank are leading the deal, with KKR the left lead on the first-lien loan and JPMorgan the left lead on the second-lien loan.

The new debt will be used to fund an acquisition.

Virgin Pulse is a Providence, R.I.-based digital health, wellbeing and engagement company.

Chamberlain guidance

Chamberlain Group held its lender call in the afternoon and announced price talk on its $1.925 billion seven-year covenant-lite term loan B (B2) at Libor plus 350 bps to 375 bps with a 0.5% Libor floor and an original issue discount of 99.5, according to a market source.

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

Commitments are due at noon ET on Oct. 22.

Wells Fargo Securities LLC, Barclays, Citigroup Global Markets Inc. and Deutsche Bank Securities Inc. are leading the deal that will be used to help fund the buyout of the company by Blackstone from Duchossois Group Inc. and to pay transaction related fees and expenses. The transaction values Chamberlain Group at approximately $5 billion.

Closing is expected by the end of 2021, subject to regulatory approvals and customary conditions.

Chamberlain Group is an Oak Brook, Ill.-based provider of smart access solutions across residential and commercial properties.

Multi-Color proposed terms

Multi-Color came out with price talk on its $1.972 billion equivalent U.S. and euro term loan B (B2/B-) in connection with its lender call in the morning, a market source said.

Talk on the U.S. portion of the term loan is Libor plus 425 bps to 450 bps with a 0.5% Libor floor and an original issue discount of 99, and talk on the euro portion of the term loan is Euribor plus 450 bps to 475 bps with a 0% floor and a discount of 99, the source continued. Both tranches have 101 soft call protection for six months.

Commitments are due at noon ET on Oct. 21, the source added.

BofA Securities Inc., Goldman Sachs Bank USA, Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., RBC Capital Markets, UBS Investment Bank and Wells Fargo Securities LLC are leading the deal that will be used to help fund the acquisition by Clayton, Dubilier & Rice of Multi-Color from Platinum Equity and Fort Dearborn from Advent International, and merger of the two companies.

Closing is expected by the end of the year, subject to customary conditions.

Multi-Color is a Cincinnati-based label solutions company. Fort Dearborn is an Elk Grove, Ill.-based label supplier to the consumer goods marketplace.

UFC comes to market

UFC launched in the morning a fungible $600 million add-on term loan B due April 2026 talked with an original issue discount of 99 to 99.5, according to a market source.

Like the existing term loan B, pricing on the add-on term loan is Libor plus 275 bps with a step-up to Libor plus 300 bps at 3.5x first-lien net leverage and a 0.75% Libor floor.

Commitments are due at noon ET on Oct. 20, the source added.

Goldman Sachs Bank USA and KKR Capital Markets are leading the deal that will be used to fund a distribution to UFC’s parent for general corporate purposes, which may include strategic mergers and acquisitions.

UFC is a Las Vegas-based mixed martial arts organization and pay-per-view event provider.

McGraw-Hill talk

McGraw-Hill Education launched on its morning call its fungible $575 million add-on term loan B (//BB+) with original issue discount talk of 99, a market source remarked.

Pricing on the add-on term loan is Libor plus 475 bps with a 0.5% Libor floor and the debt has 101 soft call protection through July 30, 2022, all of which matches the existing term loan B.

Commitments are due at noon ET on Oct. 20, the source added.

BofA Securities Inc., BMO Capital Markets, Macquarie Capital (USA) Inc., BNP Paribas Securities Corp., Deutsche Bank Securities Inc., PNC Bank and UBS Investment Bank are leading the deal that will be used to fund the acquisition of Achieve3000, a Red Bank, N.J.-based learning platform.

McGraw-Hill, a portfolio company of Platinum Equity, is a New York-based learning science company.

Precisely holds call

Precisely held a lender call at 1 p.m. ET to launch a fungible $50 million add-on first-lien term loan due April 2028 and a repricing of its existing $2.205 billion first-lien term loan due April 2028 talked at Libor plus 400 bps with a 0.5% Libor floor, an original issue discount of 99.875 to par and 101 soft call protection for six months, a market source said.

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

JPMorgan Chase Bank is leading the deal.

The add-on term loan will be used for general corporate purposes and the repricing will take the existing first-lien term loan down from Libor plus 425 bps with a 0.75% Libor floor.

Precisely is a provider of data integrity software.

AppLovin joins calendar

AppLovin set a lender call for 2 p.m. ET on Thursday to launch a $1.5 billion term loan talked at Libor plus 300 bps to 325 bps with a 0.5% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, according to a market source.

Commitments are due at noon ET on Oct. 21, the source added.

JPMorgan Chase Bank and KKR Capital Markets are leading the deal that will be used for general corporate purposes, including acquisitions.

AppLovin is a Palo Alto, Calif.-based provider of marketing software.

Atlantic Aviation on deck

Atlantic Aviation will hold a lender call at 1 p.m. ET on Thursday to launch a fungible $330 million incremental first-lien term loan due 2028, a market source remarked.

Jefferies LLC and KKR Capital Markets are leading the deal that will be used to fund the acquisition of LYNX Aviation.

Atlantic Aviation is an operator of fixed base operations, providing a full suite of critical services to the private aviation sector.

GreenWaste readies deal

GreenWaste Recovery emerged with plans to hold a lender call at 10 a.m. ET on Friday to launch $500 million of credit facilities, according to a market source.

The facilities consist of a $100 million five-year revolver and a $400 million seven-year covenant-lite term loan B, the source said.

Truist Securities, RBC Capital Markets, Fifth Third and MUFG are leading the deal that will be used to help fund the acquisition of the company by MIP V, a fund managed by Macquarie Asset Management.

GreenWaste is a San Jose, Calif.-based provider of solid waste collection and recycling solutions for homes and businesses.

Entertainment Partners on deck

Entertainment Partners scheduled a lender call for 11:30 a.m. ET on Thursday to launch an $850 million seven-year term loan B, a market source said.

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

BofA Securities Inc., JPMorgan Chase Bank, Barclays, Citigroup Global Markets Inc., Goldman Sachs Bank USA, Mizuho, SVB and TPG Capital are leading the deal that will be used for a dividend recapitalization.

Entertainment Partners is a Burbank, Calif.-based provider of workforce management services to the TV, film and broader entertainment industries.

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