14 Jan, 2022

Simply Good Foods wraps $432M term loan repricing at talk; terms

The Simply Good Foods Co. has completed a repricing of its $431.5 million covenant-lite term loan B due July 2024 via a Barclays-led arranger group, according to sources. Pricing was finalized at talk at a spread of 325 basis points over the secured overnight financing rate, plus a credit spread adjustment, or CSA, with a 0.5% floor. The repriced loan was issued at par with the 101 soft call protection reset for six months. Existing pricing on the TLB was L+375 with a 1% Libor floor. The Simply Good Foods Co. is a supplier of branded nutritional foods and snack products.

Terms:

Borrower The Simply Good Foods Company
Issue $431.5 million term loan B
UoP Repricing
Spread Sofr+CSA+325
Sofr+CSA floor 0.50%
Price 100
Tenor July 2024
YTM 3.81%
Four-year yield --
Call protection 101 soft call for 6 months
Corporate ratings B+/B1
Facility ratings BB/B1
Recovery ratings 1
Financial covenants None
Arrangers Barc/DB/BMO/GS
Admin agent Barc
Px Talk S+CSA+325/0.5%/100
Sponsor Public
Notes CSA: 10/15/25 bps for 1-month, 3-month, 6-month rates.