Qualtrics readies launch of $1 billion term loan B for Tuesday

By Sara Rosenberg

New York, April 10 – Qualtrics (Quartz AcquireCo LLC) is scheduled to hold a lender call at 11:15 a.m. ET on Tuesday to launch a $1 billion seven-year term loan B (B), according to a market source.

JPMorgan Chase Bank, BMO Capital Markets, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., KKR Capital Markets, Mizuho, RBC Capital Markets, UBS Investment Bank and Wells Fargo Securities LLC are the lead arrangers on the deal.

Price talk on the term loan is SOFR plus 375 basis points to 400 bps with a 25 bps step-down at 1.25x gross leverage and a 25 bps step-down upon an initial public offering, a 0.5% floor and an original issue discount of 98, the source said.

The term loan has 101 soft call protection for six months.

Commitments are due at noon ET on April 18, the source added.

Proceeds will be used with equity to fund the buyout of the company by Silver Lake and Canada Pension Plan Investment Board for $18.15 per share in cash. The transaction values Qualtrics at about $12.5 billion.

Closing is expected in the second half of this year, subject to customary conditions, including the receipt of the regulatory approvals.

Qualtrics, based in Provo, Utah, and Seattle, is a cloud-native software provider that helps organizations identify and resolve points of friction across all digital and human touchpoints in their business.

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