Airplanes Music plans $60 million revolver, $1.045 billion bridge debt

By Sara Rosenberg

New York, May 9 - Airplanes Music LLC has received a commitment for a $60 million senior secured revolving credit facility and $1.045 billion of bridge loans to help fund Access Industries Inc.'s acquisition of Warner Music Group Corp., according to an 8-K filed with the Securities and Exchange Commission on Monday.

The bridge loans are divided into an $845 million senior unsecured bridge facility and a $200 million senior holdco bridge facility, the filing said.

Credit Suisse Securities (USA) LLC and UBS Securities LLC are the lead banks on the financing.

Under the agreement, Access Industries is buying Warner Music for $8.25 per share. The transaction is valued at $3.3 billion.

Other funds for the acquisition will come from $1.118 billion of equity.

Closing is expected in the third quarter, subject to stockholder approval.

Access Industries is a New York-based industrial group with holdings in natural resources, chemicals, telecommunications, media and real estate. Warner Music Group is a New York-based music company.

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