Refinancings

Bodybell

Target nation: Spain

Date announced: 29/01/07

Sponsor(s): Nmas 1

Mandated arranger(s): Calyon

Financing: €182m

Bookrunner BNP Paribas and mandated lead arranger Calyon are arranging a €182m recapitalisation of Spanish perfumes, beauty and household products retailer Group Bodybell. The €182m package is made up of a €28m seven-year term loan A, a €66m eight-year term loan B, a €66m nine-year term loan C, a €10m seven-year revolver, a €10m seven-year amortizing capex/acquisition line and a €2m seven-year guarantee line. In all, the credit facilities backing the transaction total €217 million, including an additional €15m second lien tranche and a €20m mezzanine facility that has be pre-placed with Nmas1. Syndication is slated for mid-February.

Carl Zeiss Vision

Target nation: Switzerland

Date announced: 05/02/07

Sponsor(s): EQT

Mandated arranger(s): RBS

Financing: €885m

Carl Zeiss Vision is out with a €885m refinancing, through bookrunners Deutsche Bank and Mizuho Corporate Bank with mandated lead arranger RBS. Proceeds replace a E881m loan from 2005 that supported the merger between Carl Zeiss Ophthalmic Lens Division and SOLA and do not fund a dividend for shareholders Carl Zeiss AG and EQT.

The new facility is split between a €100m term loan A paying 212.5bp over Euribor, a €600m term loan B at 275bp and a €100m revolver. In addition there is a non-call one €85m second lien loan paying 500bp over Euribor. Bank lenders are invited to join on €35m for 75bp, €25m for 62.5bp or €15m for 50bp. Funds will be offered 70% of the B tranche and the entire second lien. The 2005 facility included senior, second lien and mezzanine elements and closed oversubscribed.

FCI

Target nation: France

Date announced: 29/01/07

Sponsor(s): Bain Capital

Mandated arranger(s): Unknown

Financing: €700m

Electrical and electronic connector manufacturer FCI is rumoured to be preparing for a recapitalisation. The deal, which is likely to be around €700m, should come to market in the next few weeks. It is not yet clear if FCI, formerly known as Framatome Connectors International, intends to pay a dividend to sponsor Bain Capital. If so, it will be a remarkable change of fortune for the business, which was forced to rework its last €642.5m deal following a sluggish response from the market. The restructured deal, which financed Bain Capital’s original buyout of the company early last year, went on to see good support on its B, C, second lien and mezzanine pieces. Banc of America Securities and Goldman Sachs were bookrunners. The decision to recapitalise now is probably linked to the current trend of dropping the A tranche, focusing instead on institutional demand to structure using only bullet tranches. Last time around, FCI encountered resistance from banks to its A and pro-rata elements as they included elements drawn in Hong Kong dollars, which cannot be traded in the European secondary market. Although FCI is headquartered in France, it has significant Asian operations and required the ability to draw part of the deal in the Asian currency. It is unclear if the new deal will include Hong Kong dollars, although this seems likely. FCI’s last deal comprised a €40m seven-year term loan A tranche at 225bp, a €150m eight-year term loan B at 275bp and a €150m nine-year term loan C at 325bp, a 465m term loan D at 550bp, a €85m seven-year revolver at 225bp and the €100m acquisition and capex line at 225bp. Leverage was 3.55x including the mezzanine. FCI supplies interconnector components to numerous sectors including automotive, telecommunications and high-tech industries.

Levantina

Target nation: Spain

Date announced: 29/01/07

Sponsor(s): Impala and Charterhouse

Mandated arranger(s): BNP Paribas

Financing: €90m add-on

Bookrunner BNP Paribas has closed a €90m add-on for Levantina, a Spanish marble and granite finisher and supplier. The add-on facility will finance external growth. Syndication will launch in February. Levantina was acquired by sponsors Impala and Charterhouse a May 2005 deal backed by an all-senior €58m debt package arranged, underwritten and syndicated solely by BNP Paribas.

Orizonia

Target nation: Spain

Date announced: 29/01/07

Sponsor (s): Carlyle

Mandated arranger (s): SG

Financing: €90m

Spanish tour operator Orizonia (formerly Iberostar) is in the market with a €90m B tranche add-on, via bookrunner SG. Proceeds will fund two add-on acquisitions, that of tour operator Vacaciones and online travel groupViajar.com, as well as paying a special dividend. The add-on is to the borrower’s €640m LBO financing of July 2006. That loan backed Carlyle’s acquisition of the company. Goldman Sachs and SG were bookrunners and Caja Madrid a mandated lead arranger.

Vaasan & Vaasan

Target nation: Finland

Date announced: 30/01/07

Sponsor(s): CapVest Equity Partners

Mandated arranger(s): JPMorgan

Financing: €353m

Vaasan & Vaasan is out with a €353m recapitalisation, via mandated lead arranger JPMorgan. CapVest Equity Partners is the sponsor. Debt comprises a €50m seven-year term loan A at 225bp over Euribor, a €80m eight-year term loan B at 250bp, a €80m nine-year term loan C at 300bp, a €20m seven-year revolver at 225bp and a €25m second lien tranche at 450bp. There is also a €48m mezzanine tranche and an €30m PIK loan. Leverage is 4.6x senior net debt to EBITDA, 5.1x through the second lien and 6.2x total. Banks are invited in on a single €20m ticket for 55bp. Only existing syndicate members have been approached.

Whitworths

Target nation: UK

Date announced: 13/02/07

Sponsor(s): European Capital

Mandated arranger(s): Glitnir Banki, HSBC and Lloyds TSB

Financing: £45m

Arranging banks Glitnir Banki, HSBC and Lloyds TSB have completed a £45m refinancing of the Whitworths Group of companies, a UK fruit snack specialist. In November 2006 French sponsor European Capital acquired Whitworths, a Northamptonshire-based wholesaler of dried fruits and nut based products from Gresham Trust, for GB£86m, in a secondary buyout transaction. European Capital retain a £14m slice of mezzanine debt.

Source: IFR/EVCJ