Insight Midwest's $1.1 billion term loan "B" traded actively after Insight Communications Co. announced it is refinancing the debt into a "C" loan at lower rates. Bank of America and Bank of New York are co-syndication agents and are requesting approvals within the next two weeks to shave 75 basis points from the loan. Pricing will go to LIBOR plus 2%.
The name had been quoted at 101 3/8-101 5/8, indicating strong demand. The credit was trading at 101 1/8 after the announcement. One trader explained that even at the reduced spread it's a four-B name and has 101 soft call protection. An Insight spokeswoman did not return calls by press time. Insight is a cable operator serving 1.3 million customers in Illinois, Indiana, Ohio and Kentucky.