UKG, nThrive TSG, HUB, Pike, Sotera, Women’s Care, Iridium, PetVet, Cole-Parmer break

By Sara Rosenberg

New York, Jan. 15 – UKG Inc. (Ultimate Kronos Group) added an incremental first-lien term loan to its capital structure, and nThrive TSG (MedAssets Software Intermediate Holdings Inc.) increased the size of its first-lien term loan, lowered the spread and revised the issue price, and decreased the size of its second-lien term loan, and then both of these deals freed up for trading on Friday.

Also, before breaking for trading in the latter part of the day, HUB International Ltd. trimmed pricing on its first-lien term loan B, Pike Corp. upsized its first-lien term loan B, reduced the spread and adjusted the original issue discount, and Sotera Health Co. cut pricing on its term loan B and finalized the issue price at the tight end of guidance.

Other deals to make their way into the secondary market on Friday included Women’s Care Holdings Inc. LLC, Iridium Satellite LLC, PetVet Care Centers LLC and Cole-Parmer Instrument Co. LLC (CPI HoldCo LLC).

In other happenings, Option Care Health Inc. flexed price talk lower on its add-on term loan and modified original issue discount guidance, and Careismatic Brands and Truck Hero Inc. accelerated the commitment deadlines for their loan transactions.

Furthermore, Murphy USA Inc. released price talk with launch, and ADT Inc. (Prime Security Services Borrower LLC) and Inmarsat plc joined the near-term primary calendar.

UKG revised, trades

UKG added a fungible $300 million incremental first-lien term loan due May 2026 to its transaction, joining a repricing of its $2.938 billion covenant-lite first-lien term loan due May 2026 that was launched on Jan. 12, according to a market source.

Pricing on the incremental term loan matches the repricing pricing at Libor plus 325 basis points with a 0.75% Libor floor and a par issue price, the source said, and the term loan debt has 101 soft call protection for six months.

Recommitments were due at 10 a.m. ET on Friday and the term loan debt broke for trading during the session, with levels quoted at par ¼ bid, par 5/8 offered, the source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to reprice an existing term loan down from Libor plus 400 bps with a 0.75% Libor floor, and the incremental term loan will be used to refinance a portion of the company’s existing second-lien term loan.

UKG is a provider of best-of-breed human capital management solutions with headquarters in Lowell, Mass. and Weston, Fla.

nThrive reworked, breaks

nThrive TSG raised its seven-year covenant-lite first-lien term loan B (B2/B-/BB-) to $500 million from $440 million, cut pricing to Libor plus 375 bps from talk in the range of Libor plus 425 bps to 450 bps and changed the original issue discount to 99.5 from 99, a market source remarked.

In addition, the privately placed second-lien term loan was downsized to $120 million from $160 million, the source continued.

As before, the first-lien term loan has a 0.75% Libor floor and 101 soft call protection for six months.

Recommitments were due at 10 a.m. ET on Friday and the term loan B began trading during the day, with levels quoted at 99¾ bid, par ½ offered, another source added.

Deutsche Bank Securities Inc., UBS Investment Bank, BMO Capital Markets, Jefferies LLC, Antares Capital, BNP Paribas Securities Corp. and Golub Capital are leading the deal that will be used to help fund the buyout of the company by Clearlake Capital Group LP from nThrive Holdings LP and, as a result of the extra $20 million raised through the first-lien term loan upsizing, to fund cash on the balance sheet.

nThrive TSG is a provider of health care revenue cycle management software-as-a-service solutions.

HUB flexes, frees up

HUB International reduced pricing on its $1.506 billion covenant-lite first-lien term loan B (B2/B) due April 2025 to Libor plus 325 bps from talk in the range of Libor plus 350 bps to 375 bps, according to a market source.

The term loan still has a 0.75% Libor floor, a par issue price and 101 soft call protection for six months.

Commitments continued to be due at noon ET on Friday and the term loan B freed to trade later in the day, with levels quoted at par ½ bid, 101 offered, a trader added.

Morgan Stanley Senior Funding Inc., BofA Securities Inc., Barclays, BMO Capital Markets, Credit Suisse Securities (USA) LLC, Goldman Sachs Bank USA, J.P. Morgan Securities LLC, Macquarie Capital (USA) Inc. and Nomura are leading the deal that will be used to reprice existing 2019 incremental term loans down from Libor plus 400 bps with a 1% Libor floor and pay related fees and expenses.

Closing is expected during the week of Jan. 18.

HUB is a Chicago-based insurance brokerage.

Pike updated, trades

Pike increased its seven-year covenant-lite first-lien term loan B (Ba3/B) due December 2027 to $730 million from $630 million, lowered pricing to Libor plus 300 bps from talk in the range of Libor plus 325 bps to 350 bps and adjusted the original issue discount to 99.875 from 99.5, a market source remarked.

The term loan has a 25 bps step-down upon an initial public offering, a 0% Libor floor and 101 soft call protection for six months.

Of the total term loan amount, $415 million will close during the week of Jan. 18, upsized from $315 million, and $315 million will close on March 1.

Commitments were due at 2:30 p.m. ET on Friday and the term loan B hit the secondary market late in the day, with levels quoted at par ¼ bid, par ¾ offered, a trader added.

Morgan Stanley Senior Funding Inc. is leading the deal that will be used to support the acquisition by Lindsay Goldberg of 50.1% of the company that closed on Dec. 21, to refinance existing term loans and, as a result of the upsizing, for general corporate purposes, which may include future dividends to shareholders.

Pike is a Mount Airy, N.C.-based specialty construction and engineering firm.

Sotera modified, frees

Sotera Health lowered pricing on its $1.768 billion term loan B due December 2026 to Libor plus 275 bps points from talk in the range of Libor plus 300 bps to 325 bps and set the issue price at par, the tight end of the 99.5 to par talk, according to a market source.

The term loan still has a 0.5% Libor floor and 101 soft call protection for six months.

In the afternoon, the term loan broke for trading, with levels quoted at par 1/8 bid, par 5/8 offered, another source added.

J.P. Morgan Securities LLC is leading the deal that will be used to reprice an existing term loan B down from Libor plus 450 bps with a 1% Libor floor.

Sotera is a Broadview Heights, Ohio-based provider of mission-critical end-to-end sterilization solutions and lab testing and advisory services for the health care industry.

Women’s Care breaks

Women’s Care Holdings’ bank debt began trading too, with the $360 million seven-year covenant-lite first-lien term loan (B2/B-) quoted at par bid, par ½ offered and the $120 million eight-year covenant-lite second-lien term loan (Caa2/CCC) quoted at 99 bid, par offered, according to a market source.

Pricing on the first-lien term loan is Libor plus 450 bps with a 0.75% Libor floor and it was sold at an original issue discount of 99. The debt has 101 soft call protection for six months.

The second-lien term loan is priced at Libor plus 825 bps with a 0.75% Libor floor and was issued at a discount of 98. This tranche has hard call protection of 102 in year one and 101 in year two.

During syndication, pricing on the first-lien term loan firmed at the low end of the Libor plus 450 bps to 475 bps talk.

The company’s $550 million of credit facilities also include a $70 million five-year revolver (B-).

Women’s Care leads

Jefferies LLC, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., RBC Capital Markets, Macquarie Capital (USA) Inc. and Nomura are leading Women’s Care’s credit facilities, with Jefferies the left lead on the first-lien debt and Credit Suisse the left lead on the second-lien debt.

Proceeds will be used to help fund the buyout of the company by BC Partners.

Women’s Care is a women’s health platform dedicated to providing the highest quality obstetrics, gynecology and fertility care for its patients.

Iridium hits secondary

Iridium Satellite’s $1.638 billion covenant-lite term loan B (B1/BB-) due November 2026 also freed to trade, with levels quoted at par 3/8 bid, par 5/8 offered, a market source said.

Pricing on the term loan is Libor plus 275 bps with a 1% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan firmed at the low end of the Libor plus 275 bps to 300 bps talk and the issue price was revised from 99.75.

Deutsche Bank Securities Inc., Barclays, Credit Suisse Securities (USA) LLC and Wells Fargo Securities LLC are leading the deal that will be used to reprice an existing term loan B down from Libor plus 375 bps with a 1% Libor floor.

Iridium is a McLean, Va.-based provider of mobile voice and data communications services through satellites to businesses, the U.S and foreign governments, non-governmental organizations and consumers.

PetVet starts trading

PetVet’s fungible $300 million incremental first-lien term loan B-3 due February 2025 and repriced roughly $373 million first-lien term loan B-3 due February 2025 broke as well, with levels quoted at par ½ bid, 101 offered in the afternoon, according to a market source.

Pricing on the term loan B-3 debt is Libor plus 350 bps with a 0.75% Libor floor and it was issued at par. The debt has 101 soft call protection for six months.

During syndication, the incremental loan was upsized from $250 million and the issue price was tightened from talk in the range of 99.5 to 99.75, and pricing on all of the debt was lowered from Libor plus 400 bps.

Jefferies LLC and KKR Capital Markets are leading the deal.

Proceeds from the incremental term loan will be used to finance the company’s acquisition pipeline and fund cash to the balance sheet, and the repricing will take the existing term loan down from Libor plus 425 bps with a 1% Libor floor.

PetVet is a Westport, Conn.-based operator of general practice and specialty veterinary hospitals.

Cole-Parmer tops par

Cole-Parmer’s fungible $125 million incremental first-lien term loan (B2/B) due Nov. 4, 2026 and repriced roughly $868 million first-lien term loan (B2/B) due Nov. 4, 2026 surfaced in the secondary market in the afternoon, with levels quoted at par ¼ bid, par ¾ offered, a market source remarked.

Pricing on the term loan debt is Libor plus 400 bps with a 25 bps leveraged-based step-down and a 0% Libor floor. The debt was issued at par and has 101 soft call protection for six months.

During syndication, the issue price on the incremental term loan was revised from talk in the range of 99.5 to 99.75.

Jefferies LLC is leading the deal.

Proceeds from the incremental first-lien term loan and a $65 million privately placed incremental second-lien term loan will be used to fund an acquisition, and the repricing will take the existing first-lien term loan down from Libor plus 425 bps with a 0% Libor floor.

Cole-Parmer is a Vernon Hills, Ill.-based manufacturer of peristaltic, temperature monitoring, and environmental precision equipment/consumables used in research and production applications.

Option Care tweaked

Back in the primary market, Option Care trimmed price talk on its $250 million add-on term loan to a range of Libor plus 375 bps to 400 bps from Libor plus 450 bps and revised the original issue discount talk to a range of 99.5 to 99.75 from just 99.5, a market source said.

The term loan has a 0% Libor floor.

Commitments are due at 5 p.m. ET on Tuesday, the source added.

BofA Securities Inc. is leading the deal that will be used to repay existing second-lien PIK notes.

Option Care is a Bannockburn, Ill.-based provider of home and alternate treatment site infusion therapy services.

Careismatic moves deadline

Careismatic Brands accelerated the commitment deadline for its $575 million seven-year covenant-lite first-lien term loan (B1/B) and $140 million eight-year covenant-lite second-lien term loan (Caa1/CCC+) to 5 p.m. ET on Wednesday from Jan. 22, according to a market source.

Talk on the first-lien term loan is Libor plus 375 bps to 400 bps with a 0.75% Libor floor, an original issue discount of 99.5 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 750 bps to 775 bps with a 0.75% Libor floor, a discount of 98.5 and call protection of 102 in year one and 101 in year two.

The company’s $815 million of credit facilities also include a $100 million five-year revolver (B1/B).

UBS Investment Bank, Credit Suisse Securities (USA) LLC, Barclays, RBC Capital Markets, Macquarie Capital (USA) Inc. and BMO Capital Markets are leading the deal that will be used to help fund the buyout of the company by Partners Group from New Mountain Capital.

Careismatic Brands is a Chatsworth, Calif.-based designer, marketer and distributor of medical apparel, corporate identity apparel, school uniforms and adaptive clothing.

Truck Hero accelerated

Truck Hero moved up the commitment deadline for its $1.55 billion seven-year senior secured first-lien term loan (B2/B-) to 2 p.m. ET on Tuesday from 3 p.m. ET on Wednesday, a market source said.

Talk on the term loan is Libor plus 400 bps to 425 bps with two 25 bps leverage-based step-downs and one 25 bps initial public offering-based step-down, a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

The company’s $1.75 billion of credit facilities also include a $200 million five-year ABL revolver.

Jefferies LLC, BofA Securities Inc., Credit Suisse Securities (USA) LLC, KKR Capital Markets and Stifel are leading the deal that will be used with a planned issuance of $550 million of senior unsecured debt to help fund the buyout of the company by a consortium led by L Catterton. CCMP Capital, among other shareholders, and Truck Hero’s founding chief executive officer, Bill Reminder, will remain investors in the company.

Closing is expected this quarter, subject to customary conditions.

Truck Hero is an Ann Arbor, Mich.-based provider of aftermarket accessories for pickup trucks and Jeeps.

Murphy USA guidance

Murphy USA held its lender call on Friday and announced talk on its $400 million seven-year term loan B at Libor plus 200 bps to 225 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.

The company’s $750 million of credit facilities (Baa3/BBB-) also include a $350 million five-year revolver, which is expected to be undrawn at close.

Commitments are due at noon ET on Jan. 22, the source added.

RBC Capital Markets is leading the deal that will be used with cash on hand to fund the acquisition of QuickChek Corp. in an all-cash transaction for $645 million.

Closing is expected this quarter, subject to customary conditions and regulatory approval.

Murphy USA is an El Dorado, Ark.-based retailer of gasoline and convenience merchandise. QuickChek is a Whitehouse Station, N.J., operator of convenience market stores.

ADT joins calendar

ADT set a lender call at 11:30 a.m. ET on Tuesday to launch a $2.779 billion first-lien term loan B due Sept. 23, 2026, a market source remarked.

Commitments are due at 5 p.m. ET on Thursday, the source added.

Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Mizuho and RBC Capital Markets are leading the deal that will be used to refinance/reprice an existing first-lien term loan B. Current pricing on the existing term loan is Libor plus 325 bps with a 1% Libor floor.

ADT is a Boca Raton, Fla.-based provider of monitored security and interactive home and business automation solutions.

Inmarsat readies deal

Inmarsat scheduled a lender call for noon ET on Tuesday to launch a $1.737 billion first-lien term loan B due Dec. 12, 2026, according to a market source.

Commitments are due at 5 p.m. ET on Thursday, the source added.

Barclays is leading the deal that will be used to reprice an existing first-lien term loan B.

Inmarsat is a London-based satellite telecommunications company.

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