Horizon Global lifts term loan to $385 million, widens pricing

By Sara Rosenberg

New York, Feb. 8 – Horizon Global Corp. upsized its term loan B (B1/B) due 2024 to $385 million from $380 million and increased pricing to Libor plus 500 basis points from Libor plus 450 bps, according to a market source.

Furthermore, the original issue discount talk on the term loan was changed to a range of 98 to 98.5 from a range of 99 to 99.5, and the 101 soft call protection was extended to one year from six months, the source said.

The term loan still has a 1% Libor floor.

J.P. Morgan, Wells Fargo Securities LLC, Bank of America Merrill Lynch and Jefferies LLC are the lead banks on the deal.

Commitments were scheduled to be due at 3 p.m. ET on Thursday, the source added.

Proceeds will be used with cash on hand to fund the €169 million purchase of the Brink Group from H2 Equity Partners and to refinance an existing term loan.

Closing is expected by the end of the second quarter, subject to customary conditions, including receipt of regulatory approvals.

Horizon is a Troy, Mich.-based manufacturer of branded towing and trailering equipment. Brink is a Staphorst, the Netherlands-based manufacturer of towbars, wiring kits and towing accessories.

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