Stallion Oilfield Services Ltd. canceled plans to seek a $400 million term loan to refinance debt and fund a dividend, according to a company statement distributed yesterday by Business Wire.
The company which began marketing the deal in November as a $500 million covenant-lite term loan that was to pay 6.5 percentage points more than the London interbank offered rate with a 1.25 percent floor and an issue price of 98 cents on the dollar, according to data compiled by Bloomberg.
Stallion later decreased the size of the loan to $450 million, increased pricing by 100 basis points to 7.5 percentage points more than Libor and added a total leverage covenant, the data show.
On Dec. 14 the company made some additional revisions to the deal in an effort to close the transaction. Those changes included reducing the size of the loan by an additional $50 million to $400 million and boosting the discount to 97 cents from 98 cents, the data show.
Credit Suisse Group AG was arranging the transaction for the Houston-based company, Bloomberg data show.