Florida Food revises first- and second-lien term loan sizes, pricing

By Sara Rosenberg

New York, Oct. 8 – Florida Food Products upsized its seven-year first-lien term loan to $353.5 million from $350 million and its eight-year second-lien term loan to $101 million from $100 million, according to a market source.

Furthermore, pricing on the first-lien term loan was increased to Libor plus 500 basis points from talk in the range of Libor plus 425 bps to 450 bps, and pricing on the second-lien term loan was lifted to Libor plus 800 bps from talk in the range of Libor plus 725 bps to 750 bps, the source said.

Also, the Libor floor on both term loans was changed to 0.75% from 0.5%, the original issue discount on the first-lien term loan was revised to 98 from 99 and the discount on the second-lien term loan widened to 97 from 98.

The first-lien term loan has 101 soft call protection for six months, and the second-lien term loan has hard call protection of 102 in year one and 101 in year two.

JPMorgan Chase Bank is the lead on the deal.

Proceeds will be used to help fund the buyout of the company by Ardian from MidOcean Partners for an enterprise value in excess of $1 billion. MidOcean will retain a significant stake in the company.

Closing is expected in the fourth quarter.

Florida Food is a Eustis, Fla.-based producer of vegetable and fruit-based clean label ingredients.

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