Freeport LNG Investments to launch $1.194B term loan; commitments due Nov. 19

A Credit Suisse-led arranger group will host a lender call at 3:30 p.m. ET today to launch a $1.194 billion first-lien term loan for Freeport LNG Investments, LLC, according to sources. Commitments will be due by noon ET on Nov. 19.

Price talk on the seven-year term loan is guided at L+400, with a 0.50% Libor floor and an original issue discount of 99 ahead of the call. Lenders are offered six months of 101 soft call protection. At talk, yield to maturity is roughly 4.76%.

Proceeds from the deal will be used to refinance existing debt. Additional arrangers include CIBC, Credit Agricole, ING, J.P. Morgan, MUFG, Natixis and Societe Generale.

Investors are being told to expect facility ratings of B+/B1/B+, with a 2 recovery rating from S&P Global Ratings, and corporate ratings of B/B1/B, with a stable outlook from all.

Freeport LNG Investments is a limited liability partnership that holds Michael Smith's limited partnership interests in Freeport LNG Development L.P. Freeport LNG Development operates a natural gas liquefaction and liquefied natural gas export facility.