Augusta Sportswear frees to trade; PremiStar trims term loan size; NorthStar withdrawn

By Sara Rosenberg

New York, Nov. 21 – Augusta Sportswear Brands widened pricing on its term loan and then the debt made its way into the secondary market on Tuesday, with levels quoted above the original issue discount.

Also, PremiStar reduced the size of its fungible add-on covenant-lite first-lien term loan and then allocations were distributed during the session.

Furthermore, NorthStar Group Services Inc. opted to pull its first-lien term loan from market, which was going to be used to refinance existing debt.

Augusta ups spread, breaks

Augusta Sportswear Brands raised pricing on its $340 million six-year covenant-lite term loan to SOFR plus 650 basis points from SOFR plus 600 bps, according to a market source.

The term loan still has a 1% floor, an original issue discount of 98, and hard call protection of 102 in year one and 101 in year two.

The company’s $390 million of senior secured credit facilities also include a $50 million revolver.

On Tuesday, the term loan freed to trade, with levels quoted at 98˝ bid, 99˝ offered, the source added.

Antares Capital LP is leading the deal that will be used to support the buyout of the company by Platinum Equity.

Augusta Sportswear is a Grovetown, Ga.-based supplier of team uniforms and off-field performance wear primarily serving youth and recreational segments.

PremiStar downsized

PremiStar scaled back its fungible add-on covenant-lite first-lien term loan due August 2028 to $50 million from $75 million, a market source remarked.

As before, the add-on term loan is priced at SOFR plus 450 bps with a 0.75% floor and an original issue discount of 99.03.

Commitments continued to be due on Tuesday, the source added, and allocations went out on Tuesday as well.

Truist Securities is the left lead on the deal that will be used for general corporate purposes, including to fund near-term acquisitions.

PremiStar, formerly known as Reedy Industries, is a Deerfield, Ill.-based provider of commercial heating, ventilation and air conditioning services.

NorthStar withdrawn

NorthStar Group decided to remove its $710 million five-year covenant-lite first-lien term loan (B2/B+) from market, according to a market source.

The term loan was talked at SOFR plus 525 bps with a 0% floor, an original issue discount of 97.5 to 98 and 101 soft call protection for six months.

The company was also planning on getting a $125 million four-year ABL revolver.

Macquarie Capital (USA) Inc. was acting as the sole arranger and bookrunner on the deal that was going to be used to refinance the company’s existing credit facilities.

NorthStar, a J.F. Lehman & Co. portfolio company, is a New York-based provider of diversified infrastructure and environmental services across its four segment markets: Commercial & Industrial Deconstruction, Nuclear Services, Environment Services, and Response & Restoration.

Fund flows

In other news, actively managed loan fund flows on Monday were negative $42 million and loan ETFs were positive $89 million, sources said.

Inflows for loan funds week-to-date total an estimated $29 million, compared to inflows in the prior week of $288 million, sources added.

© 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.