ClientLogic $760 million credit facility to launch in New York on Jan. 10

By Sara Rosenberg

New York, Dec. 22 - ClientLogic Corp. has firmed up timing on the launch of its proposed $760 million senior secured credit facility with the scheduling of a bank meeting in New York on Jan. 10, according to a market source.

In addition, a bank meeting will be held in London for the deal on Jan. 9, the source added.

Goldman Sachs and General Electric Capital Corp. are the lead banks on the deal, which was previously just labeled as January business, with Goldman the left lead.

The credit facility consists of a $675 million term loan B and an $85 million revolver.

Proceeds will be used to help fund the acquisition of Sitel Corp.

Originally, the company was planning on getting a $745 million credit facility consisting of a $660 million term loan and an $85 million revolver, but the size of the term loan was increased upon an amendment to the acquisition agreement that called for a higher purchase price.

Under the revised agreement, ClientLogic will pay Sitel stockholders $4.25 in cash per share, up from the originally agreed upon price of $4.05 per share.

In addition to funding the acquisition, the new credit facility will refinance $321.9 million of existing ClientLogic debt.

The transaction is expected to be completed in the first quarter of 2007 and remains subject to customary closing conditions, including the approval of Sitel's stockholders. A Sitel stockholder meeting has been scheduled for Jan. 12.

ClientLogic, a portfolio company of Onex Corp., is a Nashville, Tenn., global business process outsourcing provider in the customer care and back office processing industries. Sitel is an Omaha, Neb., provider of outsourced customer support services.

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