Commentary & Deal Flow

TVL Finance PLC (Travelodge) (TRAVEL) GBP550m equivalent (GBP/EUR) 144A/Reg S sr sec notes two-part. B3/(expect B-) (stable/--). Via GS (B&D)/Barc jt glocos/Citi/JPM jt books. No reg rights. List ISE. NY law.

- GBP330m fixed rate notes due 2028 (5y). NC2 (MWC G+50bp). Equity claw: 2y 40%. Special call: 10% per year the first 2 years at 103. IPT: 10.75-11.00% (yield). Px talk: 10.75% area yield (inclusive of 1-2 points of OID). Final px guidance: 10.625% yield (10.25% at 98.575).

- EUR250m FRN due 2028 (5y). NC1 (MWC B+50bp), then at 100. IPT: E+550bp at 96-97 OID. Px talk E+550bp at 97 area (-/- 0.5 point). Final px guidance: E+550bp at 97.50-98.00.

Roadshow started Tues (investor call at 11am UKT Tues). Books closed at noon UKT today. Reconfirm FRN orders by 2:45pm UKT today. Pricing today UKT afternoon. UOP: along with cash on hand, to repay its existing notes in full (GBP424m sr sec FRN 07/15/25, callable at 100 and GBP65m 9% sr sec notes due 01/15/25, callable at 102.00), and repay up to GBP50m of capitalized interest on sub shareholder loans. Also concurrently refinance the current revolver with a new GBP50m revovler, as well as refinance the LOC facilities. Equity sponsor: GoldenTree. Biz: a budget hotel chain, and the second largest hotel brand in the UK based on number of hotels and number of rooms operated. HQ: Thame, UK.