latest-news-headlines Market Intelligence /marketintelligence/en/news-insights/latest-news-headlines/high-yield-bond-news/capsugel-inks-add-on-to-pik-toggle-notes-b-caa1-at-101-75-backs-refi-sponsor-dividend content
BY CONTINUING TO USE THIS SITE, YOU ARE AGREEING TO OUR USE OF COOKIES. REVIEW OUR
PRIVACY & COOKIE NOTICE
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *

* Required

In this list

Capsugel inks add-on to PIK-toggle notes (B-/Caa1) at 101.75; backs refi, sponsor dividend

Churchill Downs announces $400M of eight-year notes for debt refi

Judge dismisses Marble Ridge claims over Neiman's MyTheresa transfer

Affinion receives consents for recap, covenant elimination

Revlon delays annual 10-K, details liquidity, ERP-related losses


Capsugel inks add-on to PIK-toggle notes (B-/Caa1) at 101.75; backs refi, sponsor dividend

Capsugel this afternoon completed an add-on to its 7%/7.75% holdco PIK-toggle notes due 2019, via joint bookrunners Citi, Barclays, Deutsche Bank, KKR, Mizuho, SMBC, and UBS. Terms were finalized at the tight end of talk. Proceeds, along with those from a €355 million covenant-lite term loan, will be used to fully refinance the drug-capsule manufacturer’s €325 million issue of 9.875% notes due 2019, and fund a sponsor dividend. Commitments on the loans were accelerated to 5:00 p.m. EDT today, from July 28. Price talk is E+300, with a 1% Euribor floor and a 99.75 offer price. The issuer is also seeking to boost its revolving credit facility to $175 million, from $150 million, and extend the maturity by three years, to 2019, with a springing maturity to its 2018 term debt. Capsugel makes hard capsules and drug-delivery systems.

Terms:

Issuer Capsugel
Ratings B-/Caa1
Amount $415 million
Issue senior holdco PIK-toggle add-on (144A-life)
Coupon 7% cash/7.75% PIK
Price 101.75
Yield 6.16%
Spread T+446
Maturity May 15, 2019
Call nc4mos @102
Trade July 24, 2014
Settle July 31, 2014 (T+5)
Bookrunners Citi/Barc/DB/KKR/MIZ/SMBC/UBS
Price talk 101.5 area