Storable finalizes terms tight of talk for $450M term loan backing buyout

A Credit Suisse-led arranger group has set final terms on the first-lien term loan backing the buyout of Storable Inc. by EQT, according to sources, upsizing the facility by $25 million, to $450 million. Commitments are due by noon ET today.

Pricing on the seven-year covenant-lite term loan finalized tight of talk at L+325, with a 0.50% Libor floor and an original issue discount of 99.75, from initial talk of L+375, with a 0.75% floor and an OID of 99.5. Lenders are offered six months of 101 soft call protection. At final terms, yield to maturity is approximately 3.85%.

Additional arrangers are Antares Capital and Mizuho.

First-lien facility ratings are B/B2, with a 2 recovery rating from S&P Global Ratings. Ratings on a second-lien term loan came in at CCC/Caa2, with a recovery rating of 6. Corporate ratings are B-/B3, and the outlooks are stable. The second-lien term loan was originally set to total $150 million but was reduced by $25 million with the upsizing of the first-lien term loan.

The financing also includes a $35 million, five-year revolver.

EQT Private Equity announced on Dec. 16 that it had made a majority investment in the company, while existing sponsor Cove Hill Partners and company management will retain a minority stake in the business. The purchase price is $2 billion, according to Ratings.

Storable, based in Austin, Texas, is a provider of integrated technology solutions to the self-storage industry.