High Yield Calendar: $6.425 billion of dollar deals in market

May 15 Week

CAPSTONE BORROWER INC.: $500 million seven-year senior secured notes backing the acquisition of Cvent Holding Corp.; price talk for yield in 8% area; non-callable for three years; Morgan Stanley & Co. LLC, UBS Securities LLC, Citizens Capital Markets Inc. and Fifth Third Securities Inc.; Rule 144A/Regulation S; proceeds, together with a new term loan facility and $2 billion of equity, to finance the acquisition of Diversey and refinance Diversey’s existing debt; Solenis is a Wilmington, Del.-based manufacturer of specialty chemicals used in water-intensive industries, Diversey is a Fort Mill, S.C.-based provider of hygiene, infection prevention and cleaning solutions; pricing Thursday

VENTURE GLOBAL LNG INC.: $3.5 billion offering of five-year senior secured notes and eight-year unsecured notes; secured notes whispered with 8% to 8¼% yield, unsecured notes whispered with 8¼% to 8½% yield; five-year notes are non-callable for two years and eight-year notes are non-callable for three years; J.P. Morgan Securities LLC lead left; proceeds to prepay outstanding borrowings under the company’s 2025 term loan; Arlington, Va.-based LNG producer and exporter; pricing Friday

AVENTIV TECHNOLOGIES LLC: $400 million four-year first-lien senior secured notes (B3/B); Rule 144A and Regulation S for life; callable after 1.5 years at par plus 50% of coupon; to refinance debt; Deutsche Bank (left books), BofA, PNC, Stifel, Jefferies, Morgan Stanley, BNP Paribas, Credit Suisse (joint books); Dallas-based supplier of communications and other services to corrections and government services sectors

LOTTOMATICA SPA: €1.115 billion two-tranche offering of fixed- and floating-rate notes (Ba3/BB-); Rule 144A and Regulation S for life; fixed-rate notes are non-callable for two years, floating-rate notes are non-callable for one year; Barclays (bill & deliver for fixed-rate notes), Deutsche Bank (bill & deliver for floaters), Goldman Sachs, JPMorgan, UniCredit, Banca Akros, BNP Paribas and Mediobanca; Italy-based multinational gaming company

May 22 Week

OLYMPUS WATER US HOLDING CORP. (SOLENIS).: $1.625 billion and euro-denominated $500 million equivalent long five-year senior secured notes; dollar-denominated tranche whispered in high 8% area; non-callable for two years; BofA Securities Inc. (lead left), Goldman Sachs & Co. LLC, BMO Capital Markets Corp., HSBC Securities (USA) Inc., Deutsche Bank Securities Inc., Citigroup Global Markets Inc. Macquarie Group Ltd. and Nomura Securities International Inc.; Rule 144A/Regulation S; proceeds to finance the acquisition of Cvent by private equity funds managed by Blackstone and refinance existing credit facilities; Tysons, Va.-based event management and hospitality software company; pricing expected May 22 week

MONEYGRAM INTERNATIONAL INC.: $400 million first-lien secured notes (B2/B/B+); early guidance for a yield of 10½% to 11%; Goldman Sachs (lead left), Barclays, Deutsche Bank and Wells Fargo; non-callable for three years; Rule 144A and Regulation S; concurrent $500 million first-lien term loan B (B2/B/B+) launched May 11 with SOFR plus 550 bps spread at 92; proceeds to support the buyout of MoneyGram, a Dallas-based digital payments platform, by Madison Dearborn Partners.

On The Horizon

ACURIS FINANCE US, INC. and ACURIS FINANCE SARL, doing business as ION ANALYTICS: $850 million equivalent eight-year senior secured notes (expected ratings B2/B) in tranches of dollar-denominated notes, price talk 6% area (initial talk low-to-mid 6% area), and euro-denominated notes, price talk 4¾% area (initial talk mid-to-high 4% area) tranche sizes to be determined (expected $500 million and $350 million equivalent euro); UBS (left books), BNP Paribas (joint books); Rule 144A and Regulation S for life; notes in both tranches callable after two years at par plus 50% of respective coupons; to refinance debt incurred in the Backstop acquisition, to fund a dividend for repurchase of shares from certain minority shareholders in one or more parent companies, to partially prepay amounts drawn under the credit facility and for general corporate purposes; London-based market analytics and data provider (delayed as of Jan. 28, 2022).

PEGASUS MERGER CO. (TENNECO INC.): $1 billion six-year senior secured notes; BofA (lead left); three-year call protection; help fund acquisition of Tenneco by Apollo (enterprise value approximately $7.1 billion); Lake Forest, Ill.-based aftermarket auto components supplier; deal ran an early November roadshow.

SOTERA HEALTH CO.: Incremental secured debt (bank or capital markets) to fund a significant portion of an agreement reached by its subsidiary, Sterigenics, to settle the more than 870 ethylene oxide cases ($408 million) pending against it in the Circuit Court of Cook County, Ill., and U.S. District Court for the Northern District of Illinois; pending settlements proceeds could be used to secure collateral needed for an appeal of the adverse judgment in the ethylene oxide litigation; Sotera is a Broadview Heights, Ohio-based provider of sterilization testing and services; Sterigenics provides outsourced sterilization and irradiation services; financing to be undertaken during first half of 2023; disclosed in 8-K document filed Jan. 10 with SEC.

TEMPUR SEALY INTERNATIONAL INC.: New secured and unsecured financing to help fund its acquisition of Mattress Firm Group Inc. for approximately $2.7 billion, expected to close during the second half of 2024, and repay Mattress Firm’s outstanding debt; JPMorgan is sole financial adviser to Tempur Sealy; Goldman Sachs, Barclays and Jefferies are financial advisers to Mattress Firm; Tempur Sealy is a Lexington, Ky.-based bedding products company; Mattress Firm is a Houston-based mattress specialty retailer; disclosed in 8-K filed May 9 with SEC.

TWITTER INC. (X HOLDINGS): $3 billion one-year senior secured bridge loan and $3 billion at SOFR plus 675 bps, 0% floor, 50 bps step-ups every three months up to a specified cap, and $3 billion one-year senior unsecured bridge loan at SOFR plus 1,000 bps, 0% floor, 50 bps step-ups every three months up to a specified cap, expected to be replaced with $3 billion senior secured notes and $3 billion senior unsecured notes; proceeds plus $7 billion credit facilities to help fund acquisition of Twitter by an entity wholly owned by Elon Musk; San Francisco-based online social networking service.

VIASAT INC.: $1.6 billion senior notes (assumed pricing 5½%), also $700 million term loan; debt commitment from BofA, JPMorgan, Barclays, Credit Suisse; proceeds to support the acquisition of Inmarsat, expected to close during second half of 2022; Carlsbad, Calif.-based Viasat and London-based Inmarsat are satellite telecommunications companies.

VISTRA CORP. via VISTRA OPERATIONS: $2.6 billion senior secured, senior unsecured and term loan debt to help fund its acquisition of Energy Harbor Corp. for $3 billion cash and 15% equity interest in Vistra Vision, expected to close in second half of 2023; acquisition financing also includes $600 million of Vistra balance sheet cash and $430 million of rollover Energy Harbor net debt; Vistra is an Irving, Tex.-based retail electricity and power generation company; Vistra Vision is an Irving, Tex.-based zero-carbon generation company; Citi is exclusive financial adviser to Vistra, Goldman Sachs and RBC are financial advisers to Energy Harbor; information disclosed in March 6 company presentation.

Bridge Loans

CACTUS WELLHEAD LLC: $375 million 364-day senior secured bridge loan with three-month extension option to be replaced by debt and/or equity; debt commitment from JPMorgan; to support acquisition of FlexSteel Technologies Holdings Inc. for approximately $621 million, expected to close in early 2023; other funds to come from cash on hand; Cactus is a Houston-based manufacturer of wellhead and pressure control equipment. FlexSteel manufactures spoolable pipe technologies used during production phases of a well’s lifecycle; details disclosed in 8-K filed Jan. 3 with SEC.

SEMTECH CORP.: $1.151 billion 364-day bridge loan to help fund its acquisition of Sierra Wireless Inc., enterprise value approximately $1.2 billion, expected to close in Semtech’s fiscal year 2023; commitment from JPMorgan; Semtech is a Camarillo, Calif.-based supplier of semiconductors and advanced algorithms; Sierra Wireless is a British Columbia-based Internet of Things solutions provider; disclosed in 8-K filed with SEC on Aug. 3.

SYNEOS HEALTH INC.: $1.5 billion bridge loans and $2.7 billion credit facilities to help fund its acquisition by Elliott Investment Management, Patient Square Capital and Veritas Capital in a transaction valued at about $7.1 billion including outstanding debt, expected to close in second half of 2023; Goldman Sachs, UBS, RBC, BMO, HSBC, Wells Fargo, Citigroup, Jefferies, Macquarie, Natixis and Truist provided the debt commitment; Morrisville, N.C.-based biopharmaceutical solutions provider; disclosed in 8-K filed May 10 with SEC.

Roadshows

May 15 week: MoneyGram International Inc. $400 million; Goldman Sachs (lead left), Barclays, Deutsche Bank and Wells Fargo

May 15 week: Solenis $1.625 billion and euro-denominated $500 million equivalent long five-year senior secured notes, BofA (lead left)

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