RealD, Vantage Specialty, CareerBuilder break; Dealer Tire, Atlantic Aviation tweak deals

By Sara Rosenberg

New York, Nov. 30 – RealD Inc. reworked its first-and second-lien term loan sizes, sweetened spreads, Libor floor and call protection on the tranches, and updated original issue discounts before freeing up for trading on Friday.

Also, Vantage Specialty Chemicals Holdings Inc. upsized its add-on first-lien term loan and adjusted the issue price, and canceled plans for an add-on second-lien term loan before emerging in the secondary market, and CareerBuilder LLC’s add-on term loan broke as well.

In more happenings, Dealer Tire LLC increased pricing, modified original issue discount talk and extended the call protection on its term loan B, and Atlantic Aviation FBO Inc. revised the spread on its term loan B, set the issue price at the wide side of guidance and extended the call protection.

Furthermore, BBB Industries LLC came out with size and price talk on its incremental first-lien term loan, and CPV Shore Holdings LLC, Pure Fishing, Equitrans Midstream Corp. and Bojangles’ Inc. surfaced with new deal plans.

RealD changes emerge

RealD raised its five-year first-lien term loan to $260 million from $250 million, lifted pricing to Libor plus 612.5 basis points from talk in the range of Libor plus 550 bps to 575 bps, changed the Libor floor to 1% from 0%, moved the original issue discount to 99.5 from 99, and adjusted the call protection to 103 in year one, 102 in year two and 101 in year three from 101 soft call protection for one year, according to a market source.

Additionally, the company reduced its six-year second-lien term loan to $60 million from $75 million, increased pricing to Libor plus 1,025 bps from Libor plus 1,000 bps, revised the Libor floor to 1% from 0%, finalized the discount at 98.5, the wide end of the 98.5 to 99 talk, and modified the call protection to non-callable for one year, then at 103 in year two and 101 in year three from non-callable for one year, then at 102 in year two and 101 in year three, the source said.

The first-lien term loan has a first-lien net leverage ratio covenant, the second-lien term loan has a secured net leverage ratio covenant and both loans have a maximum consolidated capital expenditures covenant.

RealD hits secondary

With final terms in place, RealD’s bank debt made was able to break for trading on Friday morning. The first-lien term loan was quoted at 99½ bid, par offered and the second-lien term loan was quoted at 98½ bid, 99½ offered, the source added.

Jefferies LLC is leading the $320 million of senior secured term loans.

The new loans will be used to refinance existing debt.

RealD is a Beverly Hills, Calif.-based licensor of 3D and other visual technologies for use in the cinema industry.

Vantage modified, breaks

Vantage Specialty Chemicals raised its add-on first-lien term loan B due October 2024 to $88 million from $73 million and set the original issue discount at 98 after being changed to a range of 98 to 98.5 from initial talk of 99, a market source said.

The add-on first-lien term loan is still priced at Libor plus 350 bps with a 1% Libor floor.

The company also canceled plans for a $15 million add-on second-lien term loan due October 2025 that was talked at Libor plus 825 bps with a 1% Libor floor and a discount of 99.

Recommitments were due at 2 p.m. ET on Friday and the debt hit the secondary market later in the session, with levels quoted at 98 bid, 98½ offered, a trader added.

Morgan Stanley Senior Funding Inc. and RBC Capital Markets are leading the deal that will be used to fund the acquisition of Leuna Tenside Holding GmbH, a chemical company, from BIP Venture Partners and VR Equitypartner GmbH, and to pay related fees and expenses.

Closing is expected in mid-December.

Vantage is a Chicago-based manufacturer and distributor of specialty chemicals.

CareerBuilder frees up

CareerBuilder’s $65 million add-on term loan (B2) also began trading, with levels seen at 99¾ bid, par offered, a market source remarked.

Pricing on the add-on term loan is Libor plus 675 bps with a 1% Libor floor, in line with existing term loan pricing, and the add-on was sold at an original issue discount of 99.5.

Credit Suisse Securities (USA) LLC is leading the deal that will be used for a dividend.

CareerBuilder is a Chicago-based end-to-end human capital solutions company focused on helping employers find, hire and manage great talent.

Dealer Tire reworked

Back in the primary market, Dealer Tire flexed pricing on its $975 million seven-year term loan B (B) to Libor plus 550 bps from talk in the range of Libor plus 425 bps to 450 bps, changed original issue discount talk to a range of 94 to 95 from 99 and extended the 101 soft call protection to one year from six months, a market source said.

The company also modified, among other things, the incremental, MFN and excess cash flow sweep.

As before, the term loan has a 0% Libor floor.

Commitments are due at noon ET on Monday, the source added.

J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC, PNC Bank, SunTrust Robinson Humphrey Inc. and US Bank are leading the deal that will be used to help fund the buyout of the company by Bain Capital Private Equity from Lindsay Goldberg LLC.

Closing is expected in December, subject to customary conditions, including regulatory approvals.

Dealer Tire is a Cleveland-based distributor of replacement tires and parts for automotive OEMs and their dealers.

Atlantic Aviation revised

Atlantic Aviation increased the spread on its $1,025,000,000 seven-year term loan B to Libor plus 375 bps from Libor plus 325 bps, firmed the original issue discount at 99, the wide end of the 99 to 99.5 talk, and extended the 101 soft call protection to one year from six months, according to a market source.

The term loan still has a 0% Libor floor.

The company’s $1,325,000,000 of credit facilities (Ba3/BB) also include a $300 million revolver.

J.P. Morgan Securities LLC is leading the deal that will be used to refinance existing debt and fund a dividend.

Atlantic Aviation is a Plano, Texas-based provider of aviation services.

BBB details surface

BBB Industries hosted a lender call at 10 a.m. ET on Friday to launch a fungible $55 million incremental covenant-light first-lien term loan (B3) due August 2025 talked with an original issue discount of 98, a market source remarked.

The incremental term loan is priced at Libor plus 450 bps with a 0% Libor floor, and has the same 101 soft call protection as the existing term loan, the source added.

Commitments are due on Dec. 10.

UBS Investment Bank is the left lead on the deal that will be used to fund the acquisition of Remy Power Products’ North American Rotating Electrical business.

Genstar is contributing $55 million of additional equity for this transaction.

BBB is a Daphne, Ala.-based remanufacturer of automotive products.

CPV joins calendar

CPV Shore Holdings scheduled a lender presentation for 2 p.m. ET on Monday to launch $545 million of senior secured credit facilities, according to a market source.

The facilities consist of a $120 million revolver and a $425 million term loan B, the source said.

Morgan Stanley Senior Funding Inc., MUFG and Credit Agricole CIB are leading the deal that will be used to refinance an existing term loan, fund a distribution to the sponsors, and pay transaction fees and expenses.

CPV Shore is part owner of Woodbridge Energy Center, a 725 MW combined cycle, natural gas-fired facility in Middlesex County, N.J.

Pure Fishing coming soon

Pure Fishing will hold a bank meeting at 10:30 a.m. ET on Wednesday to launch $740 million of credit facilities, a market source said.

The facilities consist of a $125 million ABL revolver that is expected to be undrawn at closing, a $435 million first-lien term loan and a $180 million second-lien term loan, the source added.

RBC Capital Markets is leading the deal that will be used to help fund the buyout of the company by Sycamore Partners from Newell Brands.

Gross proceeds to Newell from the Pure Fishing divestiture are anticipated to be $1.3 billion.

Closing is expected this quarter, subject to customary conditions, including regulatory approval.

Pure Fishing is a designer, marketer, and wholesaler of fishing equipment including rods, reels, combos, line and bait.

Equitrans on deck

Equitrans Midstream set a bank meeting for 2:30 p.m. ET in New York on Monday to launch a new senior secured term loan B, a market source remarked.

Goldman Sachs Bank USA and Guggenheim are leading the deal that will be used to fund the acquisition of outstanding public equity interests in EQGP Holdings LP for $20.00 per unit in cash and for general corporate purposes.

Closing is expected on or about Dec. 31.

Equitrans is a provider of midstream services in the Appalachian Basin through its three primary assets: the gathering system, the transmission and storage system, and its water services assets.

Bojangles’ schedules launch

Bojangles’ emerged with plans to hold a bank meeting at 10 a.m. ET in New York on Tuesday to launch a new loan transaction, according to a market source.

Citigroup Global Markets Inc. is the left lead bank on the deal.

The company announced in early November that it is being acquired by Durational Capital Management LP and the Jordan Co. LP for $16.10 per share, and in a PREM14A filed with the Securities and Exchange Commission on Friday, the company said that it has a commitment for up to $425 million in debt financing from Citigroup and KKR Capital Markets and a commitment for up to $390 million in equity to fund the buyout.

Closing is expected in the first quarter of fiscal year 2019.

Bojangles’ is a Charlotte, N.C.-based restaurant operator and franchisor.

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