US HY CLOSE-May gets off to solid start for high-yield

By Mike Gambale

NEW YORK, May 1 (IFR) - Here's a recap of primary issuancein the US high-yield market on Friday:

Number of deals priced so far: 3

Amount raised: US$1.95bn

Number of deals yet to price today: 1

PRICED:

EXTENDED STAY AMERICA INC

Extended Stay America Inc, expected ratings B3/BB-, US$500m10-year nc5 senior note offering viaDB(left)/CITI/GS/JPM/BARC/CS. Co-manager Lebenthal. 144a/RegSw/o reg rights. US$101 COC put. Equity clawback 35% during thefirst 3-years.

UOP: to repay a portion of amounts outstanding under amortgage loan. BIZ: Extended Stay America (NYSE: STAY) is aextended-stay hotel brand owned by Extended Stay Hotels,comprising 632 properties across the United States that are allowned and operated by the company, which is headquartered inCharlotte, North Carolina.

WHISPER: Mid-to-high 5.00%

PRICE TALK: 5.375% area.

PRICED: US$500m. Cpn 5.25%. Due 5/1/2025 NC5. Ip par. Yld5.25%. +318bp vs. 2.00% 2/15/2025 UST. First pay 11/1/2015.US$101 COC put. Equity clawback up to 35% until 5/1/2018 at105.25%. MWC T+50bp. Call schedule: 2020 at 102.625%, 2021 at101.75%, 2022 at 100.875%, 2023 and thereafter at par.Settlement date 5/15/2015. Cusip # 26907YAA2.

PRISIO ACQUISITION CORP

PriSio Acquisition Corp, Caa1/CCC+, announced a US$230m8-year nc3 senior note offering via DB(left)/BMO/CS/GS/NOM.US$101 COC put. Equity clawback 40% during the first 3-years.144a/Reg w/o reg rights. First call par plus 1/2 coupon. UOP:Finance the LBO of PrimeSource by Platinum Equity. The financingwill also include a $300 million ABL Revolver and a $325 millionTLB. BIZ: Leading two step building products distributor.

WHISPER: Low 9.00%

PRICE TALK: 9% area

LAUNCH: US$200m (downsized from US$230m) 8-year nc3 notes at9.00%. TLB now US$355m (upsized from US$325m). TLB pricing atL+350 / 1% Fl. / 99.5 OID.

PRICED: US$200m. Cpn 9.00%. Due 5/15/2023 NC3. Ip par. Yld9.00%. +709bp vs. 1.75% 5/15/2023 UST. Equity clawback up to 40%until 5/15/18 at 109%. Call schedule: 2018 at 104.5%, 2019 at102.25%, 2020 and thereafter at par. MWC T+50bp. US$101 CoC put.First pay 11/15/2015. Settlement date 5/8/2015. Cusip #74273XAA0.

QUICKEN LOANS

Quicken Loans, rated Ba2/BBB-, announced a US$1.25bn 10-yearnc5 senior note offering via CS(left)/JPM. Roadshows begin thisweek. UOP: To make a payment to parent Rock Holdings and forgeneral corporate purposes. BIZ: Quicken Loans Inc.,headquartered in Detroit, Michigan is, since 2012, the largestonline retail mortgage lender and the second largest overallretail lender in the United States.

WHISPERS 6.00% area

PRICE TALK: 5.75 - 6.00%

PRICED: US$1.25bn. Cpn 5.75%. Due 5/1/25 NC5. Ip par. Yld5.75%. +367bp vs. 2.00% 2/15/25 UST. Equity clawback up to 35%until 5/1/18 at 102.875%. MWC T+50bp. Call schedule: 5/1/20 at102.875%, 5/1/21 at 101.917%, 5/1/22 at 100.958%, 5/1/23 andthereafter at par. First pay 11/1/15. Settlement date 5/6/15.Cusip # 74840LAA0.

EXPECTED TO PRICE TODAY:

ZAYO GROUP

Zayo Group, ratings tbd, announced a US$350m 10-year nc5senior note offering via MS(left)/BARC/GS/CITI/RBC/STRH.Co-managers JPM. 144a/RegS w/reg rights. UOP: Repay existingborrowings under the Term Loan Facility. Any excess net proceedswill be used for general corporate purposes, which may includerepayment of other indebtedness, acquisitions, working capitaland capital expenditures. BIZ: Zayo Group is a publicly tradedcompany headquartered in Boulder, Colorado, with Europeanheadquarters in London. The company provides fiber-basedbandwidth infrastructure services and carrier-neutralcolocation.

PRICE TALK: 6.375-6.500%

PIPELINE:

PETRA DIAMONDS

Petra Diamonds US$ Treasury Plc, issue ratings B2/B+,announced a US$300m 5-year nc2 senior secured 2nd lien notes viaRBC(left)/BARC. Roadshows began April 27, with pricing expectedweek of May 4. First call at par plus 50% coupon. US$101 COCput. Equity clawback up to 35% during the first 2-year at parplus the coupon. 144a/RegS for life.

UOP: To repay borrowings under existing Senior Secured TermLoans and Credit Facilities, and for general corporate purposes,including funding the new plant at the Cullinan mine. BIZ:Leading independent diamond mining group with a controllinginterest in a diversified portfolio of five producing diamondmines.

Whisper: Mid 8.00% area

THE CHEMOURS COMPANY

The Chemours Company, rating tbd, announced a US$2.5bn3-part US$/Euro senior note offering viaCS(left)/JPM/BAML/BARC/CITI/GS. Structure will consist of aUS$1.125bn 8-year nc3, E350m 8-year nc3, US$1bn 10-year nc5.Timing: European roadshow begins Friday (4/24), US roadshowbegan 4/29, pricing early week of May 4. Make whole calls applyT+50bp, DBR+50bp, and nothing for the 3-tranche. 144a/RegS w/regrights. US$101 COC put.

Equity Clawback up to 35% within the first 3 years| NoneSpecial Call, If the spin-off is not completed on or before11/30/15, .redemption at 100% until 8/15/15, redemption at 101%thereafter.

UOP: Partially fund a dividend to DuPont and GCP. BIZ: Afterthe Separation from DuPont, Chemours will be an independent,publicly traded company and a global provider of performancechemicals through three reporting segments: TitaniumTechnologies, Fluoroproducts and Chemical Solutions. Chemoursdelivers customized solutions with a wide range of industrialand specialty chemical products for markets including plasticsand coatings, refrigeration and air conditioning, generalindustrial, mining and oil refining.

WHISPERS: US$ 8yr nc3 6.50% area, Euro 8yr nc3 50-75bpinside US$, US$10-year nc5 6.75% area

QUINTILES TRANSNATIONAL HOLDINGS INC

Quintiles Transnational Holdings Inc, expected ratingsBa3/BB, announced a US$800m 8yr nc3 senior unsecured noteoffering via BARC(left)/JPM/MS/CITI/GS/WFS. Co-managers areBNP/STRH. Roadshow schedule: Monday 5/4 - New York, Tuesday 5/5- Boston, pricing thereafter. 144a/RegS for life. US$101 COCput. Equity clawback 40% for the first 3-years at par pluscoupon. UOP: , to refinance its existing credit facilities, aswell as for general corporate purposes, including corporatetransactions and equity repurchases. BIZ: provider ofbiopharmaceutical development and commercial outsourcingservices.

WHISPERS: T+300-325bp

PBF LOGISTICS

PBF Logistics, ratings tbd, announced a US$300m 8-year nc3senior note offering via DB(left)/CITI. Joint-bookrunners areBAML/MUFJ/RBC/WFS. Co-managers are BARC/BNP/CA/CS/MS/UBS.Roadshows begin Monday (04May), with pricing scheduled for theend of next week. 144a/RegS w/reg rights. US$101 COC put. Equityclawback 35% during the first 3-years. UOP: Finance a portion ofthe Delaware City Logistics acquisition, refinance borrowingsunder Revolver and GCP. BIZ: Fee based MLP developed to own orlease, operate, develop and acquire crude oil and refinedpetroleum products terminals, pipelines, storage facilities andsimilar logistics assets. (Reporting by Michael Gambale; editing by Shankar Ramakrishnan)

Petra Diamonds