Ring, Waterlogic, CoolSys, Ancesty, Ardent break; Duravant, Bally’s, Sotheby’s revised

By Sara Rosenberg

New York, Aug. 5 – Ring Container Technologies Group firmed the original issue discount on its term loan B at the tight end of revised talk, and Waterlogic Group Holdings Ltd. lifted pricing on its U.S. and euro term loans, revised step-downs, modified original issue discounts and changed some documentation items, and CoolSys Inc. set the spread on its term loan debt at the low end of guidance and upsized its ABL revolver, and then these deals freed to trade on Thursday.

Also, Ancestry.com (Arches Buyer Inc.) finalized the issue price on its incremental first-lien term loan at the wide end of talk before breaking for trading and Ardent Health Services’ (AHP Health Partners Inc.) term loan B hit the secondary market as well.

In more happenings, Duravant LLC (Engineered Machinery Holdings Inc.) upsized its incremental first-lien term loan and revised the pricing step-downs, and lowered pricing on its second-lien term loan, Bally’s Corp. upsized its term loan B, and Sotheby’s raised the spread on its term loan B.

Furthermore, Eyemart Express LLC set the original issue discount on its term loan at the wide end of guidance and sweetened the call protection, Evans Network of Cos. firmed the spread on its first-lien term loan debt at the high end of talk and widened the issue price, Generation Bridge LLC extended the call protection on its term loans, and Team Services Group moved up the commitment deadline for its incremental first-lien term loan.

Additionally, Berlin Packaging, Reedy Industries, Segra Residential, Unified Women’s Healthcare LP and Janus International Group Inc. released price talk with launch., and Maverick Gaming LLC and Radiology Partners Inc. joined the near-term primary calendar.

Ring updated, trades

Ring Container Technologies finalized the original issue discount on its $800 million seven-year term loan B at 99.75, the tight end of revised talk of 99.5 to 99.75 and tighter than initial talk in the range of 99 to 99.5, according to a market source.

As before, pricing on the term loan is Libor plus 375 basis points with a 25 bps step-down at 0.5x inside closing leverage and a 0.5% Libor floor, and the debt has 101 soft call protection for six months.

Previously in syndication, the term loan was upsized from $770 million, pricing firmed at the low end of the Libor plus 375 bps to 400 bps talk and the step-down was added.

On Thursday, the term loan B freed to trade, with levels quoted at 99¾ bid, par offered, a trader added.

BofA Securities Inc. is the left lead on the deal that will be used to refinance existing debt and fund a dividend, the amount of which was increased with the recent term loan upsizing.

Ring Container is an Oakland, Tenn.-based manufacturer of plastic containers.

Waterlogic reworked

Waterlogic raised pricing on its $400 million seven-year senior secured covenant-lite first-lien term loan B (B3/B) to Libor plus 475 bps from Libor plus 425 bps and the tranche now has one margin step-down at 0.5x increments, versus three step-downs previously, a market source remarked.

In addition, the company increased pricing on its $400 million equivalent euro seven-year senior secured covenant-lite first-lien term loan B (B3/B) to Euribor plus 425 bps from talk in the range of Euribor plus 375 bps to 400 bps, and the debt now has two margin step downs at 0.5x increments, versus three step-downs previously.

Also, original issue discount talk on both the U.S. and the euro term loans was revised to a range of 99 to 99.5 from 99.5, and then firmed at 99, changes were made to MFN, debt incurrence and restricted payments, and the company must now make semi-annual presentations, versus annual presentations previously, the source continued.

The U.S. term loan still has a 0.5% Libor floor, the euro term loan still has a 0% floor, and both loans still have 101 soft call protection for six months.

The company is also getting a $125 million six-year revolver.

Waterlogic hits secondary

Recommitments for Waterlogic’s credit facilities were due at noon ET on Thursday, and the U.S. term loan began trading in the afternoon, with levels quoted at 99½ bid, par ½ offered, another source added.

Citigroup Global Markets Inc. and Goldman Sachs are the global coordinators and joint bookrunners on the deal, with Citigroup the left lead on the U.S. loan and Goldman the left lead on the euro loan. HSBC, SMBC and Societe Generale are joint bookrunners. HSBC is the agent.

The credit facilities will be used with $60 million of new equity from the sponsors to refinance existing debt, fund add-on acquisitions, and pay transaction fees and expenses.

Pro forma for the transaction and near-term bolt-on acquisitions, gross total leverage will be 5.2x and net total leverage will be 5.1x, based on LTM May 2021 adjusted pro forma EBITDA of $163 million.

Closing is expected on Aug. 17.

Waterlogic is a designer, manufacturer, distributor and service provider of products for the water dispensing industry.

CoolSys tweaked, frees

CoolSys firmed pricing on its $360 million seven-year first-lien term loan (B3/B-) and $80 million delayed-draw first-lien term loan (B3/B-) at Libor plus 475 bps, the low end of the Libor plus 475 bps to 500 bps talk, according to a market source.

Also, the company increased its ABL revolver to $75 million from $70 million, the source said.

The term loan debt still has a 0.75% Libor floor, an original issue discount of 99 and 101 soft call protection for six months.

During the session, the term loan broke for trading, with levels quoted at 99½ bid, par offered, another source added.

UBS Investment Bank, Macquarie Capital (USA) Inc. and Antares Capital are leading the now $515 million of credit facilities that will be used to refinance existing debt.

CoolSys, a portfolio company of Ares Management, is a Brea, Calif.-based refrigeration and HVAC services company.

Ancestry finalized, breaks

Ancestry.com set the original issue discount on its fungible $350 million incremental covenant-lite first-lien term loan due December 2027 at 98.75, the wide end of the 98.75 to 99 talk, a market source said.

Pricing on the incremental term loan is Libor plus 325 bps with a 0.5% Libor floor, in line with existing term loan pricing, and the debt has 101 soft call protection for six months.

The incremental term loan began trading on Thursday, with levels quoted at 99 bid, 99½ offered, another source added.

Credit Suisse Securities (USA) LLC is the left lead on the deal that will be used to fund a shareholder distribution.

Ancestry.com is a Lehi, Utah-based provider of digital family history services and consumer genomics.

Ardent tops OID

Ardent Health Services’ $900 million seven-year term loan B (B) also made its way into the secondary market, with levels quoted at 99¾ bid, par ¼ offered, according to a market source.

Pricing on the term loan is Libor plus 350 bps with a 0.5% Libor floor and it was sold at an original issue discount of 99.5. The debt has 101 soft call protection for six months.

During syndication, pricing on the term loan finalized at the low end of the Libor plus 350 bps to 375 bps talk.

BofA Securities Inc., Barclays and JPMorgan Chase Bank are leading the deal that will be used to refinance existing term loans.

Ardent is a Nashville-based provider of comprehensive, cost-effective health care and related services.

Duravant modified

Duravant increased its incremental first-lien term loan (B2/B-) due May 21, 2028 to $1.22 billion from $1.135 billion, and there is now has one 25 bps step-down at first-lien net leverage of 5x and one 25 bps step-down upon an initial public offering, revised from two 25 bps step-downs at first-lien net leverage of 4.75x and 4.25x and one 25 bps step-down upon an IPO, a market source remarked.

Pricing on the first-lien term loan remained at Libor plus 375 bps with a 0.75% Libor floor and an original issue discount of 99.5, and the debt still has 101 soft call protection for six months.

Regarding the company’s $375 million incremental second-lien term loan (Caa2/CCC+) due May 21, 2029, pricing was trimmed to Libor plus 600 bps from Libor plus 650 bps and the tranche will no longer be fungible with the existing second-lien term loan, the source continued.

As before, the second-lien term loan has a 0.75% Libor floor, a par issue price, and hard call protection of 102 through May 21, 2022 and 101 through May 21, 2023.

Duravant deadline

Recommitments for Duravant’s term loans are due at 10 a.m. ET on Friday, with allocations expected thereafter, the source added.

Jefferies LLC is the left lead on the deal that will be used to refinance existing near-term maturities and fund a shareholder distribution, the amount of which was increased with the first-lien term loan upsizing.

Duravant is a Downers Grove, Ill.-based automation solutions company providing highly engineered equipment and related aftermarket parts and services.

Bally’s upsizes

Bally’s increased its seven-year covenant-lite term loan B to $1.945 billion from $1.445 billion and scaled back its senior unsecured notes offering to $1.5 billion from $2 billion, a market source remarked.

Talk on the term loan continues to be 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.

The term loan has a ticking fee of half the margin from days 46 to 90 and the full margin thereafter.

Commitments were due at 5 p.m. ET on Thursday and allocations are expected on Friday, the source added.

Goldman Sachs Bank USA, Deutsche Bank Securities Inc., Barclays, Citizens Bank, Truist, Capital One and Fifth Third are leading the deal. Deutsche Bank is the administrative agent.

The term loan and notes will be used to help fund the acquisition of Gamesys Group plc, a London-based online gaming operator.

Bally’s is a Providence, R.I.-based casino-entertainment company.

Sotheby’s flexes up

Sotheby’s widened pricing on its $458 million covenant-lite term loan B due Jan. 15, 2027 to Libor plus 450 bps from talk in the range of Libor plus 400 bps to 425 bps, according to a market source.

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

Allocations are expected on Friday morning, the source added.

BNP Paribas Securities Corp. is leading the deal that will be used to reprice an existing term loan down from Libor plus 475 bps with a 0.75% Libor floor.

Sotheby’s is a New York-based auction house.

Eyemart updated

Eyemart Express finalized the original issue discount on its $455 million six-year senior secured term loan (B1/B-) at 99, the wide end of the 99 to 99.5 talk, extended the 101 soft call protection to one year from six months and added “Serta” protection language, a market source said.

Pricing on the term loan remained at Libor plus 300 bps with a 1% Libor floor.

Barclays is the left lead on the deal that will be used to refinance the company’s existing debt.

Eyemart is a Farmers Branch, Tex.-based optical retailer.

Evans Network revised

Evans Network set pricing on its $450 million first-lien term loan (B3/B-) and $40 million delayed-draw first-lien term loan (B3/B-), which are being sold as a strip, at Libor plus 425 bps, the high end of the Libor plus 400 bps to 425 bps talk, and adjusted the original issue discount to 99 from 99.5, according to a market source.

The first-lien term loan debt still has a 0.75% Libor floor and 101 soft call protection for six months.

Pricing on the company’s $190 million second-lien term loan (Caa2/CCC) was unchanged at Libor plus 750 bps with a 0.75% Libor floor and a discount of 99. This tranche has hard call protection of 102 in year one and 101 in year two.

The company’s $830 million of senior secured credit facilities also include a $150 million privately placed ABL revolver.

Antares Capital is leading the deal that will support Court Square’s recapitalization of the company.

Evans Network is a Schuylkill Haven, Pa.-based asset-light logistics platform providing critical services at scale to a network of independent freight agents.

Generation Bridge tweaked

Generation Bridge extended the 101 soft call protection on its $490 million of senior secured term loans to one year from six months, revised MFN and removed the inside debt maturity basket, according to a market source.

The debt consists of a $480 million seven-year term loan B and a $10 million seven-year term loan C.

Pricing on the term loans was unchanged at Libor plus 500 bps with a 0.75% Libor floor and an original issue discount of 98, and the debt still has a ticking fee of half the spread from days 46 to 90 and the full spread thereafter.

Allocations are expected on Friday morning, the source added.

Credit Suisse Securities (USA) LLC, Credit Agricole and Investec are leading the deal that will be used to fund the acquisition of power generation facilities from NRG Energy Inc.

Generation Bridge, a wholly owned subsidiary of ArcLight Energy Partners Fund VII LP, is an operator of power generation facilities.

Team Services accelerated

Team Services Group moved up the commitment deadline for its fungible $30 million covenant-lite incremental first-lien term loan (B2/B-) due December 2027 to 2 p.m. ET on Thursday from 5 p.m. ET on Thursday, a market source remarked.

Pricing on the incremental term loan is Libor plus 500 bps with a 1% Libor floor, in line with existing first-lien term loan pricing.

Original issue discount talk on the incremental term loan is 98.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to fund a tuck-in acquisition, refinance revolving credit facility borrowings and pay fees and expenses.

Team Services is a provider of employment administration and risk management solutions that facilitate self-directed home care.

Berlin holds call

Berlin Packaging emerged in the morning with plans to hold a lender call at 2 p.m. ET on Thursday to launch a $1.07 billion term loan B (B3) due March 11, 2028 talked at Libor plus 350 bps to 375 bps with a 0.5% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due on Aug. 12, the source added.

Goldman Sachs Bank USA, Barclays, Jefferies LLC and MUFG are leading the deal that will be used to refinance an existing first-lien initial term loan, first-lien tranche B-1 term loan and second-lien term loan, fund cash to the balance sheet, and pay transaction-related fees and expenses.

Oak Hill and CPPIB are the sponsors.

Berlin Packaging is a Chicago-based supplier of packaging services.

Reedy launches

Reedy Industries announced talk on its $325 million seven-year covenant-lite first-lien term loan (B2/B-) and $76 million delayed-draw first-lien term loan (B2/B-) at Libor plus 450 bps with a 0.75% Libor floor and an original issue discount of 99 to 99.5 in connection with its morning call, a market source said.

The first-lien term loan debt has 101 soft call protection for six months.

Commitments are due on Aug. 19, the source added.

The company’s $575.5 million credit facilities of credit facilities also include a $65 million revolver (B2/B-) and a $109.5 million pre-placed second-lien term loan, of which $16 million is a delayed-draw tranche.

Truist, Antares Capital, Ares and Blackstone are leading the deal that will be used to help fund the buyout of the company by Partners Group from Audax Private Equity.

Closing is expected in the third quarter.

Reedy Industries is a Deerfield, Ill.-based provider of commercial heating, ventilation and air conditioning services.

Segra proposed terms

Segra Residential held its call in the morning and released price talk on its $360 million seven-year first-lien term loan and $110 million eight-year second-lien term loan, a market source remarked.

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 to 99.5 and 101 soft call protection for six months, and talk on the second-lien term loan is Libor plus 700 bps to 725 bps with a 0.75% Libor floor, a discount of 98.5 to 99 and call protection of 102 in year one and 101 in year two, the source added.

Commitments are due on Aug. 17.

Goldman Sachs Bank USA, TD Securities (USA) LLC and Fifth Third are leading the deal that will be used to fund the recapitalization of Segra following the sale of its commercial fiber business to Cox Communications.

Segra is a provider of high-speed, fiber-based connectivity solutions over an owned network to primarily residential customers and small business customers.

Unified Women’s guidance

Unified Women’s Healthcare launched on its morning call its fungible $130 million incremental first-lien term loan due Dec. 18, 2027 with original issue discount talk of 99 to 99.5, according to a market source.

Pricing on the incremental term loan is Libor plus 425 bps with a 0.75% Libor floor.

Commitments are due at 5 p.m. ET on Wednesday.

Barclays, Credit Suisse Securities (USA) LLC, RBC Capital Markets and Antares Capital are leading the deal that will be used to fund the acquisition of Women’s Health USA, an Avon. Conn.-based provider of value-based care and practice management services.

Unified Women’s Healthcare is a Boca Raton, Fla.-based practice management platform in women’s health care.

Janus reveals talk

Janus International came out with original issue discount talk of 99.27 on its fungible $175 million incremental first-lien term loan that launched with a call in the morning, a market source said.

Pricing on the incremental term loan is Libor plus 325 bps with a 1% Libor floor.

Commitments are due at noon ET on Aug. 12, the source added.

UBS Investment Bank is leading the deal that will be used to help fund the acquisition of DBCI from Cornerstone Building Brands.

Closing is expected in the third quarter, subject to customary conditions.

Janus is a Temple, Ga.-based manufacturer and supplier of turn-key self-storage, commercial and industrial building solutions. DBCI is a Douglasville, Ga.-based manufacturer of steel roll-up doors and building products for both the commercial and self-storage industries.

Maverick readies loan

Maverick Gaming set a lender call for 11 a.m. ET on Monday to launch a $300 million seven-year covenant-lite term loan B (B3/B-) talked at Libor plus 725 bps to 750 bps with a 50 bps step-down when secured net leverage is less than 4x, a 1% Libor floor and an original issue discount in the 98 area, according to a market source.

The term loan is non-callable for one year, then has a 101 hard call for one year.

Commitments are due at 5 p.m. ET on Aug. 17, the source added.

Deutsche Bank Securities Inc., Credit Suisse Securities (USA) LLC and Jefferies LLC are leading the deal that will be used to refinance the company’s existing capital structure.

Maverick Gaming is a Kirkland, Wash.-based owner and operator of regional casinos and cardrooms.

Radiology on deck

Radiology Partners will hold a lender call at 1 p.m. ET on Monday to launch a $300 million incremental first-lien term loan due July 9, 2025, a market source remarked.

Commitments are due at noon ET on Aug. 12, the source added.

Barclays is the left lead on the deal, which will be used to fund three near-term acquisitions under letters of intent, with an aggregate purchase price of about $362million, that are expected to close this month.

Radiology Partners is an El Segundo, Calif.-based radiology physician practice management company.

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