The repriced term loan "B" for Yankee Candle was still trading actively last week after it broke the week before. The paper was around 101 1/4, according to one dealer. Lehman Brothers cut 50 basis points off the $700 million "B" term loan at the beginning of February (CIN, 1/26). It was also marketing $300 million of eight-year, 9% senior secured bonds and $225 million of 10-year, 10% senior subordinated notes.
The bank debt consists of a $125 million revolver and a $665 million term loan. Both were originally priced at LIBOR plus 2 1/2% but pricing was cut to LIBOR plus 2%. Madison Dearborn Partners is using the financing to take the South Deerfield, Mass.-based designer, manufacturer and retailer of candles private for approximately $1.7 billion. Calls to Craig Rydin, ceo, were not returned.