International Lease, Asurion, Dealertrack break; Alliance Laundry, Station Casinos updated

By Sara Rosenberg

New York, Feb. 27 - International Lease Finance Corp. set the spread on its term loan at the low end of guidance and then freed up for trading on Thursday, and Asurion LLC and Dealertrack Technologies Inc. broke as well.

In more happenings, Alliance Laundry Holdings LLC revised the offer pricing on its incremental term loan for a second time, Station Casinos LLC firmed pricing on its loan at the high end of talk while extending the call protection, and Aspen Dental Management Inc. removed its facility from market.

Also, Knowledge Universe Education LLC, Realogy Holdings Corp. and Merrill Communications LLC released talk with launch, and Grifols SA, Presidio Inc., Rite Aid Corp. and Covanta Energy Corp. joined the calendar.

International Lease trading

International Lease Finance firmed pricing on its $1.5 billion seven-year term loan B (Ba2/BBB-/BB) at Libor plus 275 basis points, the tight end of the Libor plus 275 bps to 300 bps talk, and then made its way into the secondary market on Thursday afternoon, according to market sources.

The loan, which was upsized the other day from $1 billion, was quoted at par bid, par ½ offered on the open and then it moved up to par ¼ bid, par ¾ offered, sources said.

Included in the term loan is a 0.75% Libor floor and 101 soft call protection for six months, and it was issued at an original issue discount of 991/2.

Deutsche Bank Securities Inc. and Goldman Sachs Bank USA are leading the deal that will be used for general corporate purposes.

International Lease is a Los Angeles-based independent aircraft lessor.

Asurion hits secondary

Asurion's term loans freed up too, with the fungible $300 million add-on term loan B-1 (Ba3/B) due May 2019 quoted at par ¼ bid, par ¾ offered and the $1.7 billion seven-year second-lien term loan (B3/CCC+) quoted at 103 bid, 104 offered a trader said.

Pricing on the add-on term loan B-1 is Libor plus 375 bps with a 1.25% Libor floor and the debt was sold at a discount of 993/4, after tightening during syndication from talk of 99 to 991/2. There is 101 soft call protection for one year.

The second-lien term loan is priced at Libor plus 750 bps with a 1% Libor floor and was issued at a discount of 981/2. This debt is non-callable for one year, then at 103 in year two and 101 in year three.

Recently, the spread on the second-lien loan firmed at the low end of the Libor plus 750 bps to 800 bps talk and the discount was moved from 98.

Asurion term B-3

Asurion is also getting a $250 million three-year term loan B-3 (Ba3/B) priced at Libor plus 300 bps with a 0.75% Libor floor and sold at a discount of 991/2. This tranche includes 101 soft call protection for one year.

Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., Deutsche Bank Securities Inc., Barclays, Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are leading Asurion's $2.25 billion of covenant-light term loans.

Proceeds will be used to refinance existing debt and fund a dividend.

Asurion is a Nashville-based provider of technology protection services.

Dealertrack frees up

Dealertrack's credit facility began trading as well, with the $575 million seven-year term loan B quoted at par ½ bid, 101¼ offered, according to a trader.

Pricing on the B loan is Libor plus 275 bps with a step-down to Libor plus 250 bps based on leverage. There is a 0.75% Libor floor and 101 soft call protection for six months, and the debt was issued at an original issue discount of 993/4.

During syndication, pricing on the term B firmed at the tight end of the Libor plus 275 bps to 300 bps talk, the step-down was added, the Libor floor was trimmed from 1% and the discount was tightened from 991/2.

The company's $775 million senior secured credit facility (Ba2/BB-) also includes a $200 million revolver.

Dealertrack funding acquisition

Proceeds from Dealertrack's credit facility will be used to help fund the purchase of Dealer.com for about 8.7 million shares of Dealertrack's common stock and $620 million in cash.

J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Barclays and Wells Fargo Securities LLC are leading the credit facility.

Closing is expected this quarter, subject to regulatory approval.

Dealertrack is a Lake Success, N.Y.-based provider of web-based software solutions and services to the automotive industry. Dealer.com is a Burlington, Vt.-based provider of marketing and operations software and services for the automotive industry.

Alliance Laundry reworked

Back in the primary, Alliance Laundry changed the offer price on its $230 million incremental first-lien term loan (B2) to par from recently modified talk of par ½ and initial talk of 993/4, according to a market source.

Pricing on the loan is Libor plus 325 bps with a 1.25% Libor floor.

BMO Capital Markets and Bank of America Merrill Lynch are leading the deal that will be used to help fund the acquisition of Primus Laundry Equipment Group, a Gullegem, Belgium-based marketer of commercial washer-extractors, tumbler dryers, ironers and feeding and folding equipment.

Closing is expected by the end of March, subject to customary conditions.

Alliance Laundry is a Ripon, Wis.-based designer, manufacturer and marketer of commercial laundry equipment.

Station Casinos sets spread

Station Casinos firmed pricing on its roughly $1.5 billion term loan at Libor plus 325 bps, the wide end of the Libor plus 300 bps to 325 bps talk, and extended the 101 soft call protection to one year from six months, according to a market source.

As before, the loan has a 1% Libor floor and a par offer price.

Bank of America Merrill Lynch, Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA are leading the deal that will be used to reprice an existing term loan from Libor plus 400 bps with a 1% Libor floor.

Station Casinos is a Las Vegas-based casino company.

Aspen Dental pulled

Aspen Dental Management withdrew its $370 million credit facility (B2/B) from market after adding a financial covenant to the originally covenant-light term loan as pricing was possibly going to have to widen, according to a market source.

The company believes it may be able to obtain more attractive terms that better reflect the improvement in its financial performance once its current strong momentum and operating environment have been sustained over a longer period, the source explained.

The facility consisted of a $40 million five-year revolver and a $330 million six-year term loan B, both talked at Libor plus 475 bps. The revolver had a 50 bps undrawn fee and a 100 bps upfront fee, and the term loan had a 1% Libor floor, an original issue discount of 99½ and 101 soft call protection for six months.

GE Capital Markets, Jefferies Finance LLC and UBS Securities LLC were leading the deal that was going to be used to refinance existing debt.

Aspen Dental is an East Syracuse, N.Y.-based provider of denture and dental care services.

Knowledge Universe guidance

Also in the primary, Knowledge Universe Education held its bank meeting on Thursday, launching its $270 million seven-year term loan B with talk of Libor plus 425 bps to 450 bps with a 1% Libor floor, an original issue discount of 99 and 101 soft call protection for six months, according to a market source.

The company's $340 million credit facility (B) also includes a $70 million five-year revolver.

Commitments are due on March 13, the source remarked.

Deutsche Bank Securities Inc., BNP Paribas Securities Corp. and BMO Capital Markets are leading the deal that will be used to refinance existing debt.

Knowledge Universe is a Singapore-based provider of early childhood and teacher education.

Realogy reveals talk

Realogy disclosed talk of Libor plus 300 bps with a 1% Libor floor, a par offer price and 101 soft call protection for six months on its roughly $1.9 billion senior secured term loan that launched with a call during the session, according to sources.

Proceeds will be used to reprice an existing term loan from Libor plus 350 bps with a 1% Libor floor.

J.P. Morgan Securities LLC is leading the deal.

Realogy is a Madison, N.J.-based provider of real estate brokerage, relocation and settlement services.

Merrill holds call

Merrill Communications emerged in the morning with plans to hold a call at 3 p.m. ET on Thursday to launch a $394 million first-lien term loan due March 2018 talked at talked at Libor plus 500 bps with a 1% Libor floor, a par offer price and 101 soft call protection for six months, according to a market source.

Commitments are due on March 6, the source said.

Credit Suisse Securities (USA) LLC is leading the deal that will be used to reprice an existing term loan from Libor plus 625 bps with a 1% Libor floor.

Merrill is a St. Paul, Minn.-based provider of technology-enabled services for the financial, legal, health care, real estate and other corporate markets.

Grifols on deck

Grifols set a bank meeting for 10:30 a.m. ET in New York on Monday to launch a $4.8 billion senior credit facility, according to a market source.

Nomura is the sole global coordinator on the deal, BBVA and Nomura are the joint lead arrangers and bookrunners on the pro rata debt, Morgan Stanley Senior Funding Inc. and Nomura are the joint lead arrangers and bookrunners on the U.S. term loan B, and Nomura and Morgan Stanley are the joint lead arrangers and bookrunners on the euro term loan B.

Other leads on the deal include Deutsche Bank Securities Inc. and HSBC Securities (USA) Inc.

The company recently disclosed that it started a debt refinancing process that is expected to wrap up by the last week of March.

Grifols is a Barcelona-based pharmaceutical company.

Presidio coming soon

Presidio scheduled a bank meeting for 10 a.m. ET on Tuesday to launch a $600 million senior secured term loan due March 31, 2017, according to a market source.

Barclays, Morgan Stanley Senior Funding Inc., PNC Bank and SunTrust Robinson Humphrey Inc. are leading the deal that will be used to refinance existing debt and fund a one-time distribution to shareholders.

Presidio is a New York-based IT services firm.

Rite Aid plans loan

Rite Aid will hold a call at 9 a.m. ET on Friday to launch a loan to new and existing lenders, according to a market source.

Citigroup Global Markets Inc. is leading the financing.

Rite Aid is a Camp Hill, Pa.-based drugstore chain.

Covanta readies call

Covanta Energy emerged with plans to hold a call on Friday for credit facility lenders, according to a market source.

Bank of America Merrill Lynch is leading the deal.

Covanta is a Morristown, N.J.-based owner and operator of energy-from-waste and power generation projects.

Calpine Construction closes

In other news, Calpine Construction Finance Co. completed its $425 million add-on term loan B-2 due Jan. 31, 2022, a news release said.

Pricing on the add-on, which was upsized during syndication from $375 million, is Libor plus 250 bps with a 0.75% Libor floor, in line with the existing term loan B-2, and it was sold at an original issue discount of 983/4, after firming in the middle of the 98½ to 99 talk.

Bank of America Merrill Lynch, Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc., Credit Suisse Securities (USA) LLC, Union Bank and UBS Securities LLC led the deal that helped fund the $625 million acquisition of a nominal 1,050 megawatt, combined-cycle power plant in Guadalupe County from MinnTex Power Holdings LLC.

Calpine Construction is a subsidiary of Calpine Corp., a Houston-based power producer.

American Pacific wraps

The buyout of American Pacific Corp. by H.I.G. Capital LLC for $46.50 per share, or $392 million, has closed, according to a news release.

For the transaction, American Pacific got a new $365 million senior secured credit facility that consists of a $35 million 41/2-year revolver and a $330 million five-year term loan B.

Pricing on the B loan is Libor plus 600 bps with a 1% Libor floor and it was sold at a discount of 991/4. There is call protection of 102 for one year then 101 for six months.

During syndication, pricing on the loan firmed at the low end of the Libor plus 600 bps to 650 bps talk, the discount was revised from 99 and the call protection was changed from 102 in year one and 101 in year two.

Net leverage is 4.8 times.

Jefferies Finance LLC and Credit Suisse Securities (USA) LLC led the deal for the Las Vegas-based custom manufacturer of fine and specialty chemicals.

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