ArcLight GCX launches $598 million term loan at SOFR plus 325 bps

By Sara Rosenberg

New York, Jan. 9 – ArcLight GCX (AL GCX Holdings LLC) was scheduled to hold a lender call at 11 a.m. ET on Tuesday to launch a $598 million first-lien term loan due May 17, 2029 (Ba3/B+) that is talked at SOFR plus 325 basis points with a 0.5% floor, a par issue price for existing lenders and an original issue discount of 99.75 to par for new money lenders, according to a market source.

The term loan has 101 soft call protection for six months and no CSA, the source said.

Barclays is the left lead on the deal.

Commitments are due at 5 p.m. ET on Thursday, the source added.

Proceeds will be used to reprice an existing $598 million first-lien term loan due May 2029 down from SOFR+CSA plus 350 bps with a 0.5% floor. The existing CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate.

ArcLight GCX is a new-build 450-mile Permian natural gas pipeline.

© 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.