Kodiak, Webpros break; Cloud, Kestra, Southern Vet, Miter, StandardAero changes emerge

By Sara Rosenberg

New York, March 19 – Kodiak Building Partners increased the size of its incremental term loan B-2 and adjusted the original issue discount, and Webpros upsized its term loan B, lowered the spread and changed the issue price, and then both of these deals freed to trade on Tuesday.

In more happenings, Cloud Software Group Inc. (Picard Parent Inc.) tightened the original issue discount on its first-lien term loan B for a second time, Kestra Advisor Services Holdings A Inc. revised the issue price on its first-lien term loan, and Southern Veterinary Partners LLC modified the original issue discount on its incremental first-lien term loan.

Also, Miter Brands Acquisition Holdco Inc. raised the size of its incremental term loan B-2, StandardAero (Dynasty Acquisition Co.) updated issue prices for its term loan debt, and KinderCare Learning Cos. Inc. (Kuehg Corp.) accelerated the commitment deadline for its incremental first-lien term loan.

Additionally, Kaman Corp. (Ovation Parent Inc.), NRG Energy Inc., Ultra Clean Holdings Inc. and Crisis Prevention Institute Inc. (TEI Holdings Inc.) disclosed price talk with launch, and SupplyOne and Datavant (Ciox Health/CT Technologies Intermediate Holdings Inc.) joined this week’s new issue calendar.

Kodiak revised, frees

Kodiak Building Partners raised its non-fungible incremental term loan B-2 due March 12, 2028 (B2/B+) to $450 million from $350 million and modified the original issue discount to 99.5 from 99, a market source remarked.

The term loan is still priced at SOFR plus 375 basis points with a 0% floor, and has 101 soft call protection for six months.

Recommitments were due at 2 p.m. ET on Tuesday, accelerated from an original commitment deadline of 5 p.m. ET on Tuesday, and the term loan B-2 began trading late in the day, with levels quoted at 99¾ bid, par ¼ offered, a trader added.

RBC Capital Markets is leading the deal that will be used to fund a dividend to sponsor Court Square Capital Partners.

Kodiak Building is a Highlands Ranch, Colo.-based building products distribution platform and provider of fabrication and assembly services.

Webpros reworked, trades

Webpros increased its seven-year term loan B to $540 million from $515 million, trimmed pricing to SOFR plus 400 bps from SOFR plus 425 bps and adjusted the original issue discount to 99.75 from 99, according to a market source.

As before, the term loan has a 25 bps pricing step-down at 0.5x inside closing date first-lien net leverage, a 0% floor and 101 soft call protection for six months.

Recommitments were due at 11:30 a.m. ET on Tuesday and the term loan B broke for trading in the afternoon, with levels quoted at par 1/8 bid, par 7/8 offered, another source added.

Goldman Sachs Bank USA, HSBC Securities (USA) Inc., Morgan Stanley Senior Funding Inc. and Macquarie Capital (USA) Inc. are leading the deal that will be used to refinance an existing $489 million first-lien term loan, to pay down revolver borrowings and, due to the upsizing, to add cash to the balance sheet.

Webpros is a provider of web hosting automation software, web billing and other web applications.

Cloud updated

Cloud Software changed the original issue discount on its $1 billion seven-year first-lien term loan B (B2/B) to 99.25 from revised talk of 99 and initial talk of 98.5, a market source said.

Pricing on the term loan remained at SOFR plus 450 bps with a 0.5% floor, and the debt still has 101 soft call protection for six months.

Recommitments were due at 12:30 p.m. ET on Tuesday and allocations were expected later in the day, the source added.

BofA Securities Inc., Goldman Sachs Bank USA, UBS Investment Bank and others are leading the deal that will be used to partially repay preferred equity.

Cloud Software, formed in 2022 through the combination of Citrix Systems Inc. and Tibco Software Inc., is a provider of software franchises for and across data, automation, insight and collaboration serving enterprises across private, public, managed and sovereign cloud environments.

Kestra tightened

Kestra Advisor Services moved the original issue discount on its $840 million seven-year first-lien term loan to 99.75 from revised talk of 99.5 and initial talk in the range of 99 to 99.5, according to a market source.

Pricing on the term loan is SOFR plus 400 bps with a 0% floor, and the debt has 101 soft call protection for six months.

Earlier in syndication, the term loan was upsized from $825 million and pricing was lowered from SOFR plus 425 bps.

The company’s $937.5 million of credit facilities also include a $97.5 million five-year revolver.

Recommitments were due at noon ET on Tuesday, with allocations expected in the afternoon, the source added.

UBS Investment Bank is the left lead on the deal that will be used to refinance the company’s existing first-lien credit facilities and, due to the recent upsizing, for general corporate purposes, including future acquisitions.

Kestra, a Warburg Pincus LLC portfolio company, is an Austin, Tex.-based wealth management platform supporting a broad range of independent financial advisers.

Southern Vet tweaked

Southern Veterinary Partners changed the original issue discount on its fungible $145 million incremental first-lien term loan due Oct. 5, 2027 to 99.75 from 99.5, a market source remarked.

Pricing on the incremental term loan is SOFR+CSA plus 400 bps with a 1% floor, in line with existing first-lien term loan pricing. CSA is ARRC standard of 11.448 bps one-month rate, 26.161 bps three-month rate and 42.826 bps six-month rate.

Commitments were due at 2 p.m. ET on Tuesday, moved up from 2 p.m. ET on Wednesday, the source added.

Jefferies LLC and Golub Capital are leading the deal that will be used to refinance the company’s existing second-lien term loan.

Southern Veterinary is a Birmingham, Ala.-based provider of general practice veterinary services.

Miter upsized

Miter Brands lifted its non-fungible seven-year incremental term loan B-2 (B1/BB-/BB+) to $1.854 billion from $1.3 billion, and left talk at SOFR plus 375 bps with a 0% floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

Commitments are due at 2 p.m. ET on Wednesday, accelerated from 5 p.m. ET on Thursday, the source added.

RBC Capital Markets is the left lead on the deal that will be used with $500 million of other senior secured debt and equity from Koch Equity Development LLC, a current investor in Miter, to fund the acquisition of PGT Innovations Inc. for $42.00 per share in cash, or an enterprise value of about $3.1 billion, and, due to the upsizing, to repay an existing term loan.

Closing is expected by mid-year, subject to PGT shareholder and regulatory approvals, and customary conditions.

Miter is a manufacturer of precision-built windows and doors. PGT is a North Venice, Fla.-based designer and manufacturer of patio door and window solutions.

StandardAero updated

StandardAero firmed the original issue discount for rolled positions for its term loan debt at par, the tight end of the 99.75 to par talk, and tightened the discount for new commitments to 99.875 from 99.5, a market source said.

Pricing on the term loans remained at SOFR plus 350 bps with a 0% floor, and the debt still has 101 soft call protection for six months.

The company is getting $2,762,125,000 of first-lien term loans due August 2028, of which $200 million is a fungible incremental term loan B-1 to repay existing unsecured notes, $1,793,487,500 is a repricing of the existing term loan B-1 at the U.S. borrower down from SOFR plus 400 bps with a 0% floor, and $768,637,500 is a repricing of the existing term loan B-2 at the Canadian borrower down from SOFR plus 400 bps with a 0% floor.

The B-1 and B-2 tranches are being sold and will trade as a strip.

Recommitments are due at 10 a.m. ET on Wednesday, with allocations thereafter, the source added.

UBS and Carlyle are leading the deal. Credit Suisse is the administrative agent.

StandardAero is a Scottsdale, Ariz.-based provider of aircraft engine maintenance, repair and overhaul services.

KinderCare accelerated

KinderCare moved up the commitment deadline for its fungible $250 million incremental first-lien term loan B due June 12, 2030 (//BB) to noon ET on Wednesday from noon ET on Thursday, a market source remarked.

Pricing on the incremental term loan is SOFR plus 500 bps with a 0.5% floor, in line with existing term loan pricing, and the new debt is talked with an original issue discount of 99.

Barclays, Macquarie Capital (USA) Inc., Goldman Sachs Bank USA, Deutsche Bank Securities Inc., UBS Investment Bank, Jefferies LLC, KKR Capital Markets and Citizens are leading the deal that will be used for general corporate purposes, including a potential distribution to shareholders and/or potential mergers and acquisitions, and to pay transaction expenses.

Pro forma for the transaction, the term loan will total $1.572 billion.

KinderCare is a Lake Oswego, Ore.-based provider of private early childhood care and education.

Kaman guidance

Kaman held its lender call on Tuesday morning and announced talk on its $790 million seven-year senior secured covenant-lite first-lien term loan B (B2/B/BB) at SOFR plus 400 bps with a 0.75% floor, an original issue discount of 99 and 101 soft call protection for six months, a market source said.

The term loan has ticking fees of half the margin from days 61 to 120 and the full margin thereafter.

Commitments are due at noon ET on March 27, the source added.

Based on filings with the Securities and Exchange Commission, the company is also expected to get a $150 million revolver.

Morgan Stanley Senior Funding Inc., BMO Capital Markets, RBC Capital Markets, Stifel and Capital One are leading the deal that will be used with equity to fund the buyout of the company by Arcline Investment Management LP for $46.00 per share in cash, and to pay related fees and expenses. The transaction has a total enterprise value of about $1.8 billion.

Closing is expected in the first half of this year, subject to shareholder and regulatory approvals.

Kaman is a Bloomfield, Conn.-based OEM and producer of subassemblies, components and parts for the aerospace & defense, industrial and medical markets.

NRG holds call

NRG Energy emerged in the morning with plans to hold a lender call at 1 p.m. ET to launch an $875 million seven-year senior secured covenant-lite term loan B (BBB-) talked at SOFR plus 200 bps with a 0% floor, an original issue discount of 99 to 99.5 and 101 soft call protection for six months, according to a market source.

Commitments are due at 5 p.m. ET on March 26, the source added.

Citigroup Global Markets Inc. is leading the deal that will be used to repay the company’s secured notes due 2024 and for general corporate purposes, including opportunistic liability management.

NRG is a Houston-based provider of energy solutions and natural gas.

Ultra Clean talk

Ultra Clean came out with price talk of SOFR plus 375 bps with a 0% floor and an original issue discount of 99.5 on its $479 million senior secured term loan B due February 2028 in connection with its afternoon lender call, a market source remarked.

The term loan has 101 soft call protection for six months.

Commitments are due at noon ET on March 26, the source added.

Barclays, HSBC Securities (USA) Inc. and SMBC are leading the deal that will be used to refinance/extend by 2.5 years an existing term loan.

Ultra Clean is a Hayward, Calif.-based developer and supplier of critical subsystems, components and parts, and ultra-high purity cleaning and analytical services primarily for the semiconductor industry.

Crisis Prevention launches

Crisis Prevention Institute held a lender call at 2:30 p.m. ET, launching a $400 million seven-year first-lien term loan at talk of SOFR plus 450 bps to 475 bps with two 25 bps step-downs at 0.5x and 1x inside of first-lien net leverage, a 0.5% floor, an original issue discount of 99 and 101 soft call protection for six months, a market source said.

Commitments are due at noon ET on April 2, the source added.

Jefferies LLC, Macquarie Capital (USA) Inc. and Antares Capital are leading the deal that will be used to refinance existing debt and fund a distribution to shareholders.

Crisis Prevention is a provider of crisis de-escalation training programs.

SupplyOne on deck

SupplyOne set a lender call for 10 a.m. ET on Wednesday to launch a $770 million seven-year term loan B, according to a market source.

Commitments are due at 5 p.m. ET on March 27, the source added.

RBC Capital Markets is the left lead on the deal that will be used to refinance an existing private credit deal.

SupplyOne, a Wellspring portfolio company, is a distributor of corrugated and other value-added packaging products, equipment and services.

Datavant readies deal

Datavant scheduled a lender call for 10 a.m. ET on Wednesday to launch roughly $752 million of credit facilities (B), a market source remarked.

The facilities consist of a $100 million upsized revolver due December 2028 and a roughly $652 million first-lien term loan due December 2028, the source said.

The term loan has 101 soft call protection for six months.

Commitments are due at noon ET on March 27, the source added.

UBS Investment Bank, Goldman Sachs Bank USA and Deutsche Bank Securities Inc. are leading the deal that will be used to extend the company’s existing revolver and term loan by three years.

Datavant, backed by New Mountain Capital, is an Alpharetta, Ga.-based health care data logistics company.

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