Tronox trims price on combined $741 million loan to SOFR plus 275 bps

Chicago, April 26 – Tronox Finance LLC updated price talk on a $741 million term loan that will combine two existing incremental term loans into one facility due April 4, 2029 (Ba2/BB) and then the deal priced on Friday, according to a market source.

Pricing came at SOFR plus 275 basis points with a 0% floor and an original issue discount of 99.875.

The repricing deal was launched with talk at SOFR plus 300 bps with no floor at a discount of 99.75 to par.

Proceeds will be used to combine the $349 million term loan B due August 2028 and the $392 million term loan B due April 2029 into one facility. Current interest on the loan due in 2028 is SOFR plus 350 bps and interest on the loan due 2029 is SOFR plus 325 bps.

The new loan will come with six months of soft call protection at 101.

HSBC is lead left and will be the agent.

UBS, Citigroup, Bank of America, Barclays, BNP Paribas and Deutsche Bank were also joint lead arrangers and joint bookrunners.

A source noted that as the deal freed up, initial trades were between 100.125 and 100.375.

The borrowing entity is a unit of Tronox Holdings plc, a supplier of titanium products for the mining sector.

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