NThrive TSG accelerates commitment deadline for $440M 1st-lien term loan

Timing is accelerated on the $440 million first-lien term loan backing the buyout of nThrive Inc.'s Technology Solutions Group business by Clearlake Capital, according to sources. Originally due on Jan. 19, commitments are now due at 3 p.m. ET on Jan. 14.

No other changes were announced.

Price talk on the seven-year covenant-lite term loan is L+425-450, with a 0.75% Libor floor and an original issue discount of 99. At talk, yield to maturity is approximately 5.29%-5.55%. Lenders are offered six months of 101 soft call protection.

Deutsche Bank is leading the deal and UBS, BMO Capital Markets, Jefferies, Antares Capital, BNP Paribas and Golub Capital are joint lead arrangers.

Agencies have assigned first-lien issue-level ratings of B-/B2/BB, with recovery ratings of 3 and 1 from S&P Global Ratings and Fitch. Corporate ratings are B-/B3/B. The borrower is MedAssets Software Intermediate Holdings Inc.

Debt financing for the buyout will include a $160 million second-lien term loan that is being privately placed. A $75 million revolver, undrawn at close, will have a springing net first-lien leverage covenant. In addition, funding for the $1.115 billion acquisition will include $150 million of new preferred equity and $404 million of common equity, rating agencies note.

NThrive's Technology Solutions Group is the software revenue cycle management division of nThrive Inc., and pro forma for the transaction the segment will operate as a stand-alone entity. The segment provides healthcare revenue cycle management software-as-a-service solutions, including patient access, charge integrity, claims management, contract management, analytics and education.