The BNY Capital Markets-led credit facility for Patriot Media and Communications restructured and decreased pricing due to oversubscription. A $50 million term loan "A" was moved into the "B" loan, upping the "B" tranche from $160 million to $210 million. Pricing is LIBOR plus 2 1/4% with a step down to 2% based on leverage; 101 soft call protection was added. Pricing on the $25 million revolver, which was thought to be in the LIBOR plus 2 3/4% range, will be LIBOR plus 2 1/4% on its own grid. A $47 million second lien will be priced at LIBOR plus 5% with 101 call protection.
The facility refinances existing debt and backs a dividend to sponsors including Spectrum Equity Investors. The Bank of New York is administration agent; the Banc of America Securities is co-syndication agent and co-bookrunner. General Electric Capital is co-syndication agent and Société Générale and National City Bank are documentation agents.
John Flanagan, Patriot cfo, previously told LMW the company has improved its performance by growing its cash flow since being bought in 2003 from RNC (LMW, 7/15). Flanagan could not be reached for this story.