Compass Minerals International's $350 million term loan that was repriced because of oversubscription broke at 100 1/2 last week and traded up to 101. JPMorgan first brought the deal to market at the end of November. Pricing on the term loan was cut 25 basis points to LIBOR plus 1 1/2% from LIBOR plus 1 3/4% (CIN, 12/19).
Compass will use the proceeds from the loan to repay an existing revolver and cover a tender offer of $325 million of 10% senior subordinated notes due 2011. The tender offer was due to expire last Thursday. Compass officials did not return calls. Moody's Investors Service assigned a B1 rating to the term loan. Standard & Poor's assigned it a BB- rating.