ClubCorp plans $250 million in add-on term loan debt for Sequoia buy

By Sara Rosenberg

New York, Aug. 13 – ClubCorp plans on getting up to $250 million of additional senior secured term loan borrowings to help fund its acquisition of Sequoia Golf, according to an 8-K filed with the Securities and Exchange Commission on Wednesday.

Other funds for the $265 million acquisition will come from existing liquidity.

Closing is expected by Oct. 17, subject to the amendment of the company’s credit facility to provide the new term loan debt and customary conditions.

With this transaction, leverage is expected to be around 4.5 times, versus 3.7 times currently, company officials remarked in a conference call.

ClubCorp is a Dallas-based owner and operator of private golf and country clubs, business, sports, and alumni clubs. Sequoia is an Atlanta-based golf course ownership and management company.

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