Bayer Environmental, ETC Group accelerate deadlines; Corporation Service discloses talk

By Sara Rosenberg

New York, Aug. 1 – In the primary market on Monday, Bayer Environmental Science (Discovery Purchaser Corp.) and ETC Group (EOS Finco) moved up the commitment deadlines for their loan transactions.

Furthermore, Corporation Service Co. (CSC) released price talk on its term loan B in connection with its lender call.

Bayer accelerated

Bayer Environmental Science changed the commitment deadline for its $1.346 billion seven-year first-lien term loan (B3/B-) and $300 million eight-year second-lien term loan (Caa2/CCC) to noon ET on Wednesday from 5 p.m. ET on Thursday, according to a market source.

Talk on the first-lien loan is SOFR plus 437.5 basis points with a 0.5% floor, an original issue discount of 90 and 101 soft call protection for six months, and talk on the second-lien loan is SOFR plus 700 bps with a 0.5% floor, a discount of 85.5 and call protection of non-callable for one year, then at 102 in year two and 101 in year three.

The company’s $2.021 billion of credit facilities also include a $50 million ABL revolver and a $325 million revolver (B3/B-).

Credit Suisse Securities (USA) LLC, Barclays, BMO Capital Markets, HSBC Securities (USA) Inc., ING and BofA Securities Inc. are leading the deal, with Credit Suisse left on the first-lien and Barclays left on the second-lien.

Proceeds will be used to help fund the $2.6 billion buyout of the Cary, N.C.-based provider of environmental solutions by Cinven from Bayer AG.

ETC tweaks timing

ETC Group accelerated the commitment deadline for its €972.4 million equivalent U.S. senior secured seven-year first-lien term loan (B2/B) to 5 p.m. ET on Tuesday from 5 p.m. ET on Wednesday, a market source remarked.

Talk on the term loan is SOFR plus 575 bps to 600 bps with a 0.5% floor, an original issue discount of 92 and 101 soft call protection for six months.

Credit Suisse Securities (USA) LLC, Barclays, BNP Paribas Securities Corp., Bank of Ireland, Credit Agricole, Mizuho, MUFG and Standard Chartered are leading the deal that will be used to help fund the acquisition of a majority interest in the company by Cinven from Carlyle and to pay related fees and expenses. Carlyle will hold a significant minority stake in ETC.

ETC is a France-based designer, procurer and distributor of materials, tools and equipment used by the telecom industry.

CSC sets guidance

Corporation Service held its lender call on Monday morning and announced talk on its $1.25 billion seven-year term loan B at SOFR+CSA plus 375 bps to 400 bps with a 0.5% floor, an original issue discount of 95 to 96 and 101 soft call protection for one year, a market source said.

CSA is 10 bps one-month rate, 15 bps three-month rate and 25 bps six-month rate, and the loan has a ticking fee of the full margin after 30 days.

Commitments are due at 5 p.m. ET on Aug. 10, the source added.

The company already syndicated a $1.955 billion term loan A priced at SOFR plus 250 bps and a €40 million term loan A. The total amount of term loan A debt was upsized by about $1 billion during the syndication process, resulting in the term loan B being about $1 billion smaller than previously expected.

BofA Securities Inc., Jefferies LLC and Wells Fargo Securities LLC are leading the deal (B1/BB-/BBB-) that will be used with cash on hand to fund the acquisition of Intertrust NV for €20 in cash per share, or about €1.8 billion, and to refinance existing debt.

Corporation Service is a Wilmington, Del.-based provider of corporate, legal, tax and digital brand services. Intertrust is an Amsterdam-based provider of tech-enabled fund and corporate solutions.

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