Packaging Dynamics $130 million term loan broke at 100 1/8 in the secondary market. A trader commented that trading activity was low on the Deutsche Bank-led covenant-lite deal, which backs the $263 million acquisition by Thilmany, a wholly owned subsidiary of Kohlberg & Co (CIN, 4/7).
Pricing on the deal was cut to LIBOR plus 2% from LIBOR plus 2 1/4 - 2 1/2%. The term loan was also upsized by $40 million. The deal also consists of a $125 million asset-based loan priced at LIBOR plus 1 1/2%. A call to Patrick Chambliss, cfo, was not returned.