Directed Electronics' $307 million term loan broke at 100 1/4-100 1/2 in the secondary last week. The financing, which includes a $100 million revolver, backs the company's acquisition of Polk Audio, a home and mobile audio equipment provider. A trader said the loan was fairly inactive on the break largely because investors were happy with their allocations.
CIBC World Markets and JPMorgan lead the term loan, which is priced at LIBOR plus 2 1/2%. The new loan is a combination of an old $166 million term loan and a new $141 million add-on. Standard & Poor's assigned a B+ and 3 recovery rating to the bank loan. A spokesman declined comment.