Getty Images plans $1.85 billion loan, $750 million notes for buyout

By Sara Rosenberg

New York, Sept. 10 - Getty Images Inc. is anticipating getting a $1.85 billion credit facility and issuing $750 million of notes with its $3.3 billion purchase by the Carlyle Group and management from Hellman & Friedman, according to a market source.

The facility, which is expected to launch with a bank meeting later this month, consists of a $150 million revolver and a $1.7 billion term loan B, the source said.

Details on the financing emerged with the company's Monday call that was held to launch an $800 million bridge loan backing the bond offering.

Pricing on the bridge loan is Libor plus 725 basis points with a 1.25% Libor floor. The spread steps up by 50 bps every three months until a cap is reached, the source added.

Commitments for the bridge loan are due on Friday.

Barclays, J.P. Morgan Securities LLC, Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. and RBC Capital Markets LLC are the lead banks on the debt, with Barclays the left lead on the credit facility and JPMorgan the left lead on the bridge loan.

Other funds for the transaction will come from equity.

Closing on the buyout is targeted for mid-October.

Getty Images is a Seattle-based creator and distributor of still imagery, video and multimedia products.

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