DuBois Chemicals updates first- and second-lien term loan price talk

By Sara Rosenberg

New York, Oct. 4 – DuBois Chemicals Inc. increased pricing on its $510 million seven-year first-lien term loan B to Libor plus 450 basis points from talk in the range of Libor plus 400 bps to 425 bps, according to a market source.

Also, pricing on the $140 million eight-year second-lien term loan was narrowed down to Libor plus 850 bps, the high end of the Libor plus 825 bps to 850 bps talk, the source said.

Original issue discount talk on both term loans was revised to a range of 97.5 to 98. Previously, the first-lien term loan was talked with a discount of 99.5 and the second-lien term loan was talked at a discount of 98.5.

In addition, the 101 soft call protection on the first-lien term loan was extended to one year from six months.

The term loans still have a 0% Libor floor.

Earlier in syndication, the first-lien term loan was downsized from $540 million and the second-lien term loan was downsized from $190 million.

J.P. Morgan Securities LLC is the lead bank on the deal.

Proceeds will be used to help fund the buyout of the company by Altas Partners from the Jordan Co. LP.

The amount of equity being used for the transaction is being increased due to the recent downsizing of the term loans.

Closing is expected this year, subject to customary conditions and regulatory approvals.

DuBois Chemicals is a Sharonville, Ohio-based provider of specialty cleaning chemical solutions.

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