Savers trims pricing on $460 million term B to Libor plus 300 bps

By Sara Rosenberg

New York, Feb. 14 - Savers Inc. reduced the spread on its $460 million six-year term loan B to Libor plus 300 basis points from Libor plus 325 bps and added a step-down to Libor plus 275 bps at less than 2.75 times leverage, according to a market source.

In addition, the Libor floor was cut to 1.25% from 1.5% and the loan is now being offered at par, as opposed to at a discount of 991/2, the source said.

Recommitments are due at 5 p.m. ET on Tuesday.

The company's $500 million credit facility (Ba3/B+) also includes a $40 million revolver.

J.P. Morgan Securities LLC is the lead bank on the deal.

Proceeds will be used to refinance existing debt and fund the acquisition of 18 stores from Apogee, a thrift store operator owned by Golden Gate Capital.

Leverage is 3.8 times all senior.

Savers is a Bellevue, Wash.-based thrift store chain.

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