Exopack Holdings seeks $350 million loan amendment to reduce pricing

By Sara Rosenberg

New York, May 1 - Exopack Holdings Corp. is looking to amend its $350 million senior secured term loan to lower pricing, according to an 8-K filed with the Securities and Exchange Commission on Wednesday.

Sources said the company is talking the repricing at Libor plus 375 basis points with a 1.25% Libor floor, a par offer price and 101 soft call protection for one year.

By comparison, current pricing on the term loan is Libor plus 500 bps with a 1.5% Libor floor.

Commitments for the repricing are due on May 9, sources added.

The term loan amendment would also enable the company to participate in supplier financing at investment grade borrowing rates.

BofA Merrill Lynch is the lead bank on the repricing.

In addition, the company is asking that its term loan and ABL facility be amended to allow for its consolidation with Sun Capital Partners Inc.'s other flexible and rigid packaging portfolio companies, including Kobusch, Britton, Paragon and Paccor, under one corporate holding structure.

GE Capital Markets is the lead bank on the ABL facility.

Exopack is a Chicago-based full-service paper and plastic flexible packaging products manufacturer.

© 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.