Universal Computer to get new credit facility for Reynolds acquisition

By Sara Rosenberg

New York, Aug. 8 - Universal Computer Systems Inc. plans to get a new credit facility to help fund its acquisition of The Reynolds and Reynolds Co., according to a market source.

Deutsche Bank and Credit Suisse are the lead banks on the deal.

Under the terms of the agreement, holders of Reynolds' stock will receive $40.00 per share in cash from Universal Computer. The transaction is valued at $2.8 billion, including the assumption of Reynolds' $300 million of debt.

The transaction is subject to approval by Reynolds shareholders and regulatory clearances, and is expected to close late this year or in early 2007.

Equity financing will come primarily from a group of investors led by the Goldman Sachs Capital Partners, Vista Equity Partners and others.

The surviving Dayton, Ohio-based dealer services company will be named The Reynolds and Reynolds Co.

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