Chiquita Brands reveals price talk on $400 million credit facility

By Sara Rosenberg

New York, June 28 - Chiquita Brands International Inc. is talking its $150 million revolver at Libor plus 275 basis points and its $250 million term loan at Libor plus 300 bps, according to a market source.

There is no Libor floor.

The debt, which launched with a bank meeting on Monday, is being shopped to banks on a pro rata basis.

Rabobank is the lead arranger on the $400 million senior secured credit facility, Wells Fargo Securities LLC is the syndication agent and Bank of America Merrill Lynch is the documentation agent.

Commitments are due on July 11.

Proceeds, along with cash, will be used to refinance about $155 million of existing bank debt and fund a tender offer for $100 million of the roughly $177 million outstanding under the company's 8 7/8% senior notes due 2015.

The tender offer expires on July 26 and is subject to completion of debt financing.

Chiquita is a Cincinnati-based marketer and distributor of fresh and value-added food products.

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