Clarke American gets debt commitment from Credit Suisse for Harland purchase

By Sara Rosenberg

New York, Dec. 20 - Clarke American Corp. has received a debt financing commitment from Credit Suisse to fund its acquisition of John H. Harland Co., according to an 8-K filed with the Securities and Exchange Commission Wednesday.

Under the agreement, parent company M&F Worldwide Corp. is buying Harland for $52.75 per share in cash, representing an approximate transaction value of $1.7 billion.

In addition to funding the acquisition, the new financing will repay Clarke American's existing credit facility debt and senior notes.

The transaction is expected to close in the second half of 2007, subject to the satisfaction of customary closing conditions, including expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act and approval by the shareholders of Harland.

M&F is a New York-based producer of licorice products for the tobacco, food, pharmaceutical and confectionery industries. Harland is a Decatur, Ga.-based provider of printed products and software and related services sold to the financial institution market.

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