Everyware ups spread on $150 million term B to Libor plus 775 bps

By Sara Rosenberg

New York, March 2 - Everyware increased pricing on its $150 million term loan B (B3/B) to Libor plus 775 basis points from Libor plus 700 bps and shortened the tenor to 5½ years from six years, according to a market source.

The 1.5% Libor floor and original issue discount of 98 were left unchanged.

Also, the term loan B now has hard call protection of 102 in year one and 101 in year two, versus original plans for 101 soft call protection for one year, the source said. Amortization, excess cash flow sweep and other repayments from operating cash flow, however, will be at par.

Amortization on the loan is $5 million in 2012, $10 million in 2013 and $12 million each year thereafter, revised from 1% per annum.

And, the excess cash flow sweep is 75% until leverage is below 1.75 times, at which point it will step down to 50%, the source added. Previously, the sweep was 50% with step-downs to be determined.

Recommitments are due on Thursday.

The company's $225 million credit facility also includes a $75 million five-year ABL revolver that is expected to have a pricing grid ranging from Libor plus 175 bps to 275 bps based on availability.

Barclays Capital Inc. is the lead bank on the B loan, and Wells Fargo Securities LLC is leading the revolver.

Proceeds will be used to refinance existing debt and pay a dividend in connection with the formation of the company through the merger of Oneida Ltd. and Anchor Hocking Co. by sponsor Monomoy Capital Partners.

Oneida is a tabletop brand and Anchor Hocking is a manufacturer and marketer of foodservice and retail glassware.

© 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.