LBO Syndications


Target nation: Czech Republic

Date announced: 11/03/08

Acquirer: Mid Europa Partners

Total value: Undisclosed

Arrangers: HSH Nordbank and Nordea

Financing: €251.7m

HSH Nordbank and Nordea have been mandated as joint mandate lead arrangers on a €251.7m senior credit facility backing Mid Europa Partners’ buyout of DISA, and its merger with existing portfolio company Wheelabrator.

HSH will act as global co-ordinator and facility agent until early in 2009, when Nordea will assume the roles.

Mid Europa Partners is buying DISA, a moulding and metal surface preparation business, in a secondary buyout from Procuritas Capital Investors. The combination of DISA and Wheelabrator will create a business with a turnover of more than €400m.


Target nation: Denmark

Date announced: 05/12/08

Acquirers: EQT and ATP

Total value: DKr2bn

Arrangers: Danske Bank and others

Financing: Unknown

Sponsor EQT and pension fund ATP have acquired Danish state owned IT provider KMD in a DKr2bn deal.

The deal is backed by a 50% equity cheque and 50% debt, provided by an all Danish club of Danske Bank, Nordea, Nykredit, FIH and by ATP itself.

Under the terms of the deal, EQT will hold 85% of KMD, with ATP holding the rest. KMD’s main revenues come from providing IT solutions to Danish municipal and state clients.

N&W Global Vending

Target nation: Italy

Date announced: 31/10/08

Acquirers: Investcorp and Barclays Private Equity

Total value: Undisclosed

Arranger: Bank of Ireland and others

Financing: €470m

Syndication of the €470m N&W Global Vending through bookrunners Bank of Ireland, Barclays, BNP Paribas, Calyon, ING, Intesa Sanpaolo, Natixis and SG is close to completion, with banks, already at target hold levels, set to bring in a final commitment in the coming week.

The deal benefited from an existing lender group that has largely been retained in the new deal, the big number of banks at the top level and local market liquidity in Italy.


Target nation: France

Date announced: 15/10/08

Acquirer: PAI Partners

Total value: Undisclosed

Arranger: BNP Paribas

Financing: €260m

Bookrunners are still in the market with €260m facilities backing the buyout of Socotech, a French provider of technology and inspection services to aggregates mining and quarry operators. BNP Paribas, Calyon, Natixis and SG are mandated as bookrunners on the senior debt, with BNP Paribas, Calyon and SG also mandated to arrange mezzanine debt. SPIE Sud-Ouest, a PAI Partners investment vehicle, acquired Socotech in July last year.

Xella International

Target nation: Germany

Date announced: 15/07/08

Acquirers: PAI and GS Capital Partners

Total value: Undisclosed

Arranger: Calyon

Financing: €970m

Building materials group Xella has closed syndication of €970m of debt backing the PAI and Goldman Sachs Capital Partners buyout of the business from Haniel. Bookrunning mandated lead arrangers are BNP Paribas, RBS, UniCredit (HVB) (global co-ordinators) with Calyon and LBBW. They were joined ahead of general syndication by Erste Bank, KfW, Mediobanca, Commerzbank, HSH Nordbank, WGZ and GE.

Bookrunners said they closed the deal at the launch price. “The deal launched at 25bp over what was the going rate in September. The issue investors had to get over was the construction sector; once they did, price was not an issue,” said one.

Facilities are split between a €270m seven-year term loan A paying 300bp over Euribor, a €275m eight-year term loan B paying 375bp over, a €275m nine-year term loan C paying 425bp over, a €75m seven-year revolving credit facility paying 300bp over and a €75m seven-year acquisition/capex line paying 300bp over.

Net senior and total leverage at closing was 2.9 based on 2007 adjusted EBITDA of €271m, and has since fallen to 2.7 based on July 2008 adjusted LTM EBITDA. Equity and quasi-equity is approximately 50%.

Source: IFR Loans/EVCJ