Financing in brief

  • Dresdner Kleinwort as MLA and bookrunner is out to senior lenders with a €715m senior, second-lien and mezzanine loan backing the recapitalisation of Sportfive, the German sporting rights group. Morgan Stanley was initially mandated to arrange a €750m transaction, only to be later replaced by Dresdner. Sportfive is controlled by its management, Advent International, Goldman Sachs and media conglomerate RTL.
  • Bookrunners Bank of Scotland and Glitnir have extended the syndication period for the £400m debt package backing Icelandic investment group Baugur’s acquisition of UK department store House of Fraser. Investors have asked for more time to get the deal through their credit committees. The deal is under no time pressure and will therefore run for another few weeks. The £400m syndicated debt comprises a £40m six-year term loan A with a margin of 225bp over Libor, a £70m seven-year B loan at 275bp, a £70m eight-year C loan at 325bp, a £50m six-year capex facility at 250bp with a commitment fee of 125bp and a six-year £110m revolving credit facility at 225bp, also with a commitment fee of 125bp. The £60m nine-year mezzanine has a margin of 100bp, 500bp cash and 600bp PIK. Institutional investors are offered a 60% carve-out of the B and C loans as well as the mezzanine.
  • Qualis is out with a €273m LBO debt package backing its acquisition of a controlling stake of real estate company Akerys. Bookrunners are BNP Paribas, Calyon and HSBC.
  • Gerflor has mandated BNP Paribas to arrange the debt package backing AXA Private Equity’s buyout of the company from PAI for €310m. The deal will launch this year, although no schedule has been finalised. Gerflor was last in the market with a €155m all-senior recapitalisation facility, via MLA BNP Paribas. That deal backed the recapitalisation of the flooring manufacturer by sponsors PAI, CDC Enterprises, Natexis Industrie and ICG. A single ticket of €7.5m is offered for a 45bp fee. Mezzanine from the original structure has been rolled over.
  • Credit Suisse and JPMorgan as MLAs and bookrunners are out with a €296m add-on to Gerresheimer Glas’ €505m buyout loan, which signed last year. MLAs are CSFB and JP Morgan. The new debt will add €138m to the B tranche, €138m to the C and €20m to the acquisition capex tranche. Pricing is unchanged and lenders will be paid a 25bp amendment fee. Proceeds fund an acquisition. Last year’s buyout package was split between a €85m seven-year term at 225bp over Euribor, a €85m eight-year term loan at 275bp,a €85m nine-year term loan at 325bp, a €50m seven-year acquisition line and a €50m revolver at 225bp. Additionally there was a €150m bridge to a high-yield bond. The deal funded Blackstone’s secondary buyout of Gerresheimer Glas from Investcorp.