Trading volume on West Corp.'s $2.1 billion term loan was light on its break into the secondary market last Monday. One trader estimated that less than $20-30 million of paper exchanged hands. The loan broke at 100 3/8-1/2 and dipped to 100 1/4. Another dealer said there were several trades on the day of the break, but that trading was inactive the following day.
Lehman Brothers, Deutsche Bank, Bank of America and Wachovia Securities lead the deal, which Omaha Acquisition Corp. -- formed by private equity firms Thomas H. Lee Partners and Quadrangle Group -- will use to acquire West Corp. for $4.1 billion (CIN, 10/20). The provider of outsourced communication solutions completed the deal last week.
Pricing was bumped up 25 basis points to LIBOR plus 2 3/4% from launch. Leverage is roughly 6.25 times total and 4 times on the bank debt (9/29). A West Corp. spokesman declined to comment.