HireRight increases incremental term loan amount to $300 million

By Sara Rosenberg

New York, March 22 – HireRight Holdings Corp. upsized its fungible incremental first-lien term loan due September 2030 (B2/B) to $300 million from $250 million, according to a market source.

Pricing on the incremental term loan is SOFR plus 400 basis points with a 0% floor, in line with existing term loan pricing.

The incremental term loan still has an original issue discount of 99, a ticking fee payable only if the transaction closes of half the margin from days 61 to 90 and the full margin thereafter, and amortization of 1% per annum.

Goldman Sachs Bank USA, RBC Capital Markets, Stone Point Capital Markets, Barclays, Citizens and Capital One are the arrangers on the deal.

Recommitments were scheduled to be due at noon ET on Friday, the source added.

Proceeds will be used to help fund the acquisition of the company by General Atlantic and Stone Point Capital LLC and, due to the upsizing, to fund a distribution to HoldCo. The sponsors are the beneficial owners of about 75% of the company’s outstanding shares of common stock and will acquire the outstanding shares they do not already own for $14.35 per share in cash, which implies a total enterprise value of around $1.65 billion.

Closing is expected in mid-2024, subject to approval by holders of a majority of the shares not owned by the sponsors, receipt of regulatory approvals and other customary conditions.

HireRight is a Nashville-based provider of technology-driven workforce risk management and compliance solutions.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.