By Lisa Kerner
Charlotte, N.C., May 31 - Tabcorp Holdings Ltd. announced that Echo Entertainment Group Ltd., the proposed new holding company of its casinos business has agreed to raise $460 million in the U.S. private placement market, once its shareholders vote to approve the demerger of the casinos business on June 1.
Echo will issue $100 million of seven-year notes and $360 million of 10-year notes.
Proceeds will be converted into Australian dollars and will be used to reduce Echo's A$1,400 million syndicated bank facility, according to a Tabcorp news release.
"We're delighted with the response from the U.S. private placement market," said Tabcorp chief financial officer Matt Bekier.
"The transaction diversifies Echo's sources of debt and provides for an attractive debt maturity profile," Bekier said.
UBS and Commonwealth Australia Securities acted as joint placement agents for Echo.
Tabcorp is a Melbourne, Australia-based leisure and entertainment services company operating in three segments: casinos, wagering, and gaming.
| Issuer: | Echo Entertainment Group Ltd.
|
| Issue: | Notes
|
| Amount: | $460 million
|
| Maturity: | Seven years ($100 million), 10 years ($360 million)
|
| Placement agents: | UBS and Commonwealth Australia Securities
|
| Distribution: | Private placement
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
