FTD outlines expected pricing on $130 million term loan A

By Sara Rosenberg

New York, July 31 – FTD Cos. Inc. revealed in an 8-K/A filed with the Securities and Exchange Commission that its proposed $130 million term loan A is expected to have pricing ranging from Libor plus 150 basis points to 250 bps based on consolidated leverage.

Amortization on the term loan is 10% in years one, two, three and four with the balance due at the July 17, 2018 maturity.

Bank of America Merrill Lynch and Wells Fargo Securities LLC are the lead banks on the deal.

Proceeds will be used to help fund the acquisition of Liberty Interactive Corp.’s Provide Commerce floral and gifting businesses,

Other funds for the $430 million transaction will come from 10.2 million shares issued to Liberty, valued at $30.24 per share, and $9 million in cash on hand.

Closing is targeted for the end of the year, subject to regulatory and stockholder approvals and other customary conditions.

Pro forma net leverage will be around 3 times.

FTD is a Downers Grove, Ill.-based floral and gifting company.

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