Syneos lowers secured notes to $1.2 billion, sets talk at 9¼%-9½%; pricing Tuesday

By Paul A. Harris

Portland, Ore., Sept. 18 – Star Parent, Inc. (Syneos Health Inc.) downsized its offering of even-year senior secured notes (B1/B) to $1.2 billion from $1.7 billion and talked them to yield 9¼% to 9½%, wide to initial guidance in the 9% area, according to market sources.

Books close at 5 p.m. ET on Monday, and the notes are set to price on Tuesday.

The Rule 144A and Regulation S for life notes become subject to their initial call in three years at par plus 50% of the coupon.

Goldman Sachs & Co. LLC is the left bookrunner. UBS Securities LLC, RBC Capital Markets LLC, BMO Capital Markets Corp., HSBC Securities (USA) Inc., Wells Fargo Securities LLC, Citigroup Global Markets Inc., Jefferies LLC, Macquarie Capital (USA) Inc., Natixis Securities Americas LLC, Truist Securities Inc., Citizens Capital Markets Inc., MUFG Securities Americas Inc., SMBC Nikko Securities America Inc., Capital One Securities Inc. and SG Americas Securities LLC are the joint bookrunners.

Proceeds plus a $2.5 billion term loan B (upsized from $2 billion with the downsizing of the bonds) and a $500 million revolver, along with sponsor equity and cash on hand will be used to support the buyout of Syneos Health by Elliott Investment Management, Patient Square Capital and Veritas Capital, as well as for working capital and general corporate purposes.

The buyout, valued at about $7.1 billion, is expected to close during the second half of this year.

Syneos is a Morrisville, N.C.-based biopharmaceutical solutions organization.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.