JPMorgan lowered pricing on a seven-year, $350 million term loan for Compass Minerals International last Monday. The 25 basis point cut took pricing from LIBOR plus 1 3/4% to LIBOR plus 1 1/2% following oversubscription. Pricing of LIBOR plus 1 3/4% on a five-year, $100 million revolver did not change.
The bank brought the deal to the market at the end of November to refinance existing debt. Specifically, it will repay an existing revolver and cover a tender for about $325 million of its 10% senior subordinated notes and pay other fees, according to Moody's Investors Service and statements from the company. Moody's assigned a B1 rating to both the term loan and the revolver and Standard & Poor's assigned a BB- rating to the facility.
The company was controlled by Apollo Management, with IMC Global holding a small stake, until 2003 when it did an initial public offering and changed its name from Salt Holdings Corp. to Compass Minerals International. Goldman Sachs and Credit Suisse First Boston were the lead underwriters of the offering.
A spokeswoman for the company declined comment.