Magnate downsizes delayed-draw loan, lifts term debt pricing to Libor plus 550 bps

By Sara Rosenberg

New York, March 11 – Magnate Worldwide LLC downsized its delayed-draw covenant-lite term loan to $20 million from $40 million and raised pricing on the delayed-draw piece as well as on the funded $260 million seven-year covenant-lite first-lien term loan to Libor plus 550 basis points from talk in the range of Libor plus 500 bps to 525 bps, according to a market source.

Also, the original issue discount on the term loan debt was revised to 98 from 99, the source said.

The term loan debt still has a 0.75% Libor floor and 101 soft call protection for six months.

Citizens Bank is the lead arranger and administrative agent on the deal.

Allocations went out on Friday afternoon, the source added.

Proceeds will be used to help fund the buyout of the company by Littlejohn & Co. LLC.

Magnate Worldwide is an asset-light third-party logistics provider with headquarters in Portland, Ore., and Chicago.

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