High Yield Calendar: $11 billion deals being marketed

November 18 Week

CENTENE CORP. As much as $7.25 billion three-part senior notes (Ba1/BBB-/BB+): $750 million add-on to 4¾% senior notes due Jan. 15, 2025, callable Jan. 15, 2020 at 103.563, price talk 102.25 to 102.75 (3.81% to 3.98%), also $2.5 billion to $3 billion notes due 2027, callable after three years at par plus 50% of coupon, price talk 4½% to 4 5/8% (initial talk 4¾% area), also $3 billion to $3.5 billion notes due 2029, callable after five years at par plus 50% of coupon, price talk 4¾% to 4 7/8% (initial talk 5% area), original offering size $7 billion, proposed add-on to 5 3/8% notes due 2026 withdrawn; Barclays (lead left books, bill and deliver), JPMorgan, SunTrust, Wells Fargo, BofA (joint books), Fifth Third, MUFG, US Bancorp, Regions, PNC, BMO, Stifel, CIBC, Allen (co's); add-on is Rule 144A for life, 2027 and 2029 notes Rule 144A with registration rights; to help fund acquisition of WellCare Health Plans Inc., and general corporate purposes, including refinancing certain Centene and WellCare debt; Centene is a St. Louis-based provider of services to government sponsored and commercial health care programs; WellCare is a Tampa, Fla.-based provider of government-sponsored managed care services; roadshow Nov 18-20; books close Wednesday, Thursday for West Coast accounts.

VICI PROPERTIES INC. via VICI PROPERTIES LP and VICI NOTE CO. INC. $1.75 billion two-part senior notes (expected ratings B1/BB): Seven-year notes with three years of call protection, initial talk in low-to-mid 4% area, and 10-year notes with five years of call protection, initial talk in high 4% area, tranche sizes to be determined; Deutsche Bank; Rule 144A and Regulation S; to refinance existing $1.55 billion asset-level real estate mortgage financing secured by the real estate assets associated with Caesars Palace Las Vegas; New York-based real estate investment trust; pricing expected Thursday.

COMPASS MINERALS INTERNATIONAL: $500 million senior notes due 2027; JPMorgan; non-callable for three years; proceeds, together with borrowings under an expected new amended and restated credit agreement, to repay all outstanding debt under its existing credit agreement; Overland Park, Kan.-based minerals producer; initial price talk 6% to 6 ¼%; pricing expected Thursday.

AVEANNA HEALTHCARE LLC: $560 million seven-year first-lien senior secured notes; Barclays, BMO, Jefferies, Deutsche Bank (joint); callable after three years at par plus 50% of coupon; to finance the acquisition of Maxim Health Services, Inc.’s home care services division; Atlanta-based provider of pediatric home care; roadshow Tuesday-Thursday, pricing Friday; initial price talk mid-to-high 9% area.

ENVIVA PARTNERS, LP and ENVIVA PARTNERS FINANCE CORP.: $450 million senior notes due January 2026 (B1/B+/BB-); Barclays (left lead books, bill and deliver), BMO, Citigroup, Goldman Sachs, HSBC, JPMorgan, RBC (joint books); Rule 144A and Regulation S for life; callable after two years at par plus 50% of coupon; proceeds plus cash on hand to refinance existing $355 million 8½% senior notes due 2021, to repay revolver balances and for general corporate purposes; Bethesda, Md.-based master limited partnership that manufactures wood pellets; investor call Nov. 18; roadshow Nov. 18 week; initial talk mid-to-high 6% area; pricing Nov. 18 week.

TELESAT CANADA via TELESAT LLC: $500 million eight-year senior secured notes; JPMorgan; Rule 144A and Regulation S; non-callable for three years; to pay down term loan B; Ottawa-based satellite communications company; pricing expected Friday; initial talk 5% area.

JAGUAR LAND ROVER AUTOMOTIVE PLC: Benchmark euro-denominated senior notes due 2024 (B1/B+/BB); JP Morgan (sole physical books, global coordinator, bill and deliver), Citigroup (global coordinator, joint books), Goldman Sachs (global coordinator, joint books), ANZ, Barclays, BNP Paribas, Credit Agricole, Deutsche Bank, HSBC, Mizuho, NatWest, Standard Chartered (joint books); Rule 144A and Regulation S; make-whole call at par plus 50 bps until three months prior to maturity, then callable at par, otherwise non-callable; general corporate purposes; Coventry, United Kingdom-based holding company for carmaker Jaguar Land Rover Ltd., a subsidiary of Indian automotive company Tata Motors; initial price talk low 6% area; pricing expected Thursday.

Expected Fourth Quarter Business

HESS MIDSTREAM PARTNERS LP: $500 million senior notes and $1.4 billion credit facilities; to help fund its acquisition of Hess Corp.’s and Global Infrastructure Partners’ ownership interests in Hess Infrastructure Partners LP, valued at about $6.2 billion, expected to close in fourth-quarter 2019; Houston-based midstream company; information disclosed in Oct. 4 8-K.

PRESIDIO INC.: $1,775,000,000 high-yield bonds and bank loans, includes $400 million of senior notes or an unsecured bridge facility and $1,375,000 of senior secured credit facilities; Citigroup, JPMorgan, RBC, BofA, MUFG; to help fund the buyout of Presidio by BC Partners; New York-based IT solutions provider; expected late September or early October business.

ZAYO GROUP HOLDINGS INC.: $2.775 billion senior unsecured bridge loan and $6.74 billion senior secured credit facilities; debt commitment from Credit Suisse, Morgan Stanley, Citigroup, Deutsche Bank, SunTrust, TD; to help fund LBO by Digital Colony Partners and the EQT Infrastructure IV fund, expected to close in the first half of 2020; Boulder, Colo.-based provider of mission-critical bandwidth to companies; possible post-Labor Day business.

High Yield Bridges

ADVISOR GROUP: $775 million secured bridge loan; UBS, BofA, Barclays, Deutsche Bank, Goldman Sachs (joint); to help fund its acquisition of Ladenburg Thalmann Financial Services Inc., expected to close in the first half of 2020; Advisor Group is a Phoenix-based network of independent financial advisors; Ladenburg is a Miami-based diversified financial services company.

ELANCO ANIMAL HEALTH INC.: $2.75 billion bridge loans and $3.75 billion credit facilities, debt commitment from Goldman Sachs; to help fund its acquisition of Bayer AG’s animal health business, targeted to close in mid-2020; Greenfield, Ind.-based animal health company; disclosed in 8-K document filed Aug. 20 with SEC.

ELDORADO RESORTS INC.: $1.8 billion senior notes due 2028 backed by bridge loan, via JPMorgan, Credit Suisse, Macquarie, priced at Libor plus 475 bps with a 0% Libor floor, spread increases by 50 bps every three months until a specified cap is reached; also $4 billion credit facilities, debt commitment from JPMorgan, Credit Suisse, Macquarie; to help fund its acquisition of Caesars Entertainment Corp.; Eldorado is a Reno, Nev.-based gaming company, expected to close in first half of 2020; Caesars is a Las Vegas-based gaming and entertainment company.

PENN NATIONAL GAMING INC.: $840 million senior unsecured bridge loan, also $1.14 billion in incremental senior secured term loans; debt commitment from BofA Securities, Goldman Sachs Bank USA, Fifth Third Bank, U.S. Bank, Wells Fargo Securities LLC, Citizens Bank, SunTrust Robinson Humphrey Inc. and TD Securities (USA) LLC; to finance the acquisition of Pinnacle Entertainment Inc., expected to close in the second half of 2018; Penn National is a Wyomissing, Pa.-based owner and manager of gaming and racing facilities and video gaming terminal operations; Pinnacle is a Las Vegas-based owner and operator of gaming entertainment properties.

T-MOBILE USA INC.: $27 billion bridge loans to be replaced with secured notes, unsecured notes or other financing in connection with merger of T-Mobile and Sprint Corp.: $19 billion 364-day senior secured covenant-light bridge facility (low triple B ratings expected) and $8 billion one-year senior unsecured covenant-light bridge facility ($4 billion expected to convert into eight-year debt, and $4 billion expected to convert to 10-year debt) (mid-to-high double B ratings expected), also $11 billion credit facilities; Barclays, Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Goldman Sachs Bank USA, Morgan Stanley Senior Funding Inc. and RBC Capital Markets, joint lead arrangers and bookrunners on the debt (Goldman Sachs agent on the secured bridge, agent for unsecured bridge not named in the commitment letter); to refinance certain T-Mobile and Sprint debt, and for post-closing working capital for combined company; combined company will be called T-Mobile and will be based in Bellevue, Wash.; announced in April 30 8-K filing with Securities & Exchange Commission.

UGI ENERGY SERVICES LLC: $700 million bridge facility; Credit Suisse; to help fund its acquisition of Columbia Midstream Group LLC for about for about $1.28 billion, expected to close in fourth fiscal quarter of 2019; UGI is a King of Prussia, Pa.-based distributor and marketer of energy products and services; information disclosed in July 3, 2019 press release.

On The Horizon

ALPHA AUTO GROUP: $225 million five-year notes; JPMorgan; non-callable for two years; automotive group operates dealerships representing 14 automotive brands throughout Ontario, Alberta and Oregon.

ATLANTICA TENDER DRILLING LTD.: $140 million four-year second-lien notes; DNB, Pareto (global coordinators), Danske, SpareBank1 (joint books); also $100 million four-year first-lien term loan; to refinance bank and bond debt; Houston-based oil and gas drilling services provider; deal subject to market conditions, pre-marketing mid-to-late May.

DDM HOLDING AG via DDM DEBT AB: €100 million three-year secured floating-rate notes; Arctic Securities AS and ABG Sundal Collier ASA (joint lead managers); Stockholm-based investment services provider.

DIAMONDBACK ENERGY INC.: Expected high-yield notes; to help fund $9.2 billion acquisition of Energen Corp., expected to close in fourth-quarter 2018; Citigroup is financial adviser to Diamondback, JPMorgan and Tudor Pickering Holt are exclusive financial advisers to Energen.

INNOPHOS HOLDINGS INC.: $300 million senior secured notes and $540 million senior secured credit facilities; to help fund buyout by One Rock Capital Partners LLC, expected in the first quarter of 2020; Cranbury, N.J.-based producer of essential ingredients; disclosed in Nov. 14 PREM14A filed with SEC.

OBSIDIAN ENERGY LTD.: $100 million five-year senior notes; Pareto; to refinance Obsidian Energy’s existing $48 million secured notes maturing between 2020 to 2025 and for general corporate purposes; Calgary, Alta.-based oil and natural gas production company.

QMAX FINANCIAL HOLDINGS INC. (Q'MAX SOLUTIONS INC.): $225 million secured notes due 2024 (Caa2/B-); Pareto; Rule 144A and Regulation S; callable after two years at par plus 50% of coupon; two-year 35% equity clawback at par plus coupon; to help fund the upcoming acquisition of Mountain Mud, repay debt and buy out certain existing equipment leases; Houston-based multi-national oilfield services provider; roadshow mid-to-late May.

Roadshows

Nov. 18 week: ENVIVA PARTNERS $450 million; Barclays

Nov. 19-21: AVEANNA HEALTHCARE $560 million; Barclays, BMO, Jefferies, Deutsche Bank

Pricing expected Nov. 21: VICI PROPERTIES $1.75 billion; Deutsche Bank

Pricing expected Nov. 22: TELESAT CANADA $500 million; JPMorgan

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