Commentary & Deal Flow

Efesto Bidco SpA/Efesto US LLC (Forgital Group) US$ (EUR760m equivalent in US$) 144A/Reg S sr sec notes due 2032 (7y). NC3 (MWC T+50bp). Equity claw: 2y 40%. Special call: 10% per year the 1st 3 years at 103. Expect B3/B-/B. Via RBC (B&D) gloco/Barc/MS/UBS/BNP/CA/DB jt books. No reg rights. SMR at 100 if the acquisition is not completed by 12/31/25. CoC at 101. Settles T+10. IPT: mid 7s. Investor call 11am 01/28. Pricing late 01/27 week. UOP: along with cash on hand, to fund the LBO of Forgital Group by Stonepeak for EUR1.5bn, including Forgital debt. Stonepeak will contribute EUR795m in equity. Biz: An industrial manufacturing company that produces forged and ring-rolled components for use in the aerospace, defense and industrial markets. (Acquisition announced 12/14/24).