22 Nov, 2021

EverCommerce completes $200M add-on term loan tight to talk; terms

EverCommerce Inc. completed a $200 million fungible add-on to its covenant-lite term loan B due July 2028 (L+325, 0.50% Libor floor) tight to talk at an original issue discount of 99.75 via KKR Capital Markets-led arranger group, according to sources. Proceeds from the deal will be used to repay $190 million of revolver borrowings and to add cash to the balance sheet. EverCommerce provides integrated, vertically tailored software-as-a-service solutions for service-based small and medium-sized businesses.

Terms:

Borrower EverCommerce Inc.
Issue $200 million fungible add-on term loan B
UoP Refinancing
Spread L+325
Libor floor 0.50%
Price 99.75
Tenor July 2028
YTM 3.85%
Four-year yield 3.87%
Call protection 101 soft call (same as existing)
Corporate ratings B+/B1
Facility ratings B+/B1
Recovery ratings 3
Financial covenants None
Arrangers KKR+
Admin agent RBC
Px Talk L+325/0.5%/99.5
Sponsor Public
Notes Margin step-down of 25 bps at 2.75x first-lien leverage. Size is now $550 million.