Chefs’ Warehouse firms extended term loan amount at $171.2 million

By Sara Rosenberg

New York, June 5 – Chefs’ Warehouse Inc. set its amended and extended first-lien term loan due June 22, 2025 at a size of about $171.2 million, post paydown, according to a market source.

The non-extended term loan due June 22, 2022 is sized at around $31.2 million.

Also, the company revised call protection on the extended term loan to non-callable for one year, then a 101 hard call in year two, the source said. Previously, the call protection on the extended piece was expected to be the same as the existing call protection on the non-extended piece.

Pricing on the extended term loan is Libor plus 550 basis points with a 0% Libor floor, and pricing on the non-extended term loan is Libor plus 350 bps with a 0% Libor floor.

Jefferies LLC is the lead arranger on the deal (B2/B).

In conjunction with the extension, the company is adding a minimum liquidity covenant subject to no less than $35 million of aggregate cash and ABL availability, and is paying down 15% of the outstanding principal amount of the first-lien term loan, payable to extending lenders only.

Consenting lenders are getting a fee equal to 50 bps of the aggregate principal amount of the extended term loan following the paydown.

Chefs’ Warehouse is a Ridgefield, Conn.-based distributor of specialty food products.

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