Structure surfaces on Knoll $450 million credit facility ahead of launch

By Sara Rosenberg

New York, Sept. 7 - Tranching on Knoll Inc.'s proposed $450 million credit facility (BB-) emerged, with the breakdown being a $150 million five-year revolver and a $300 million seven-year term loan, according to a market source.

The deal is scheduled to launch via a bank meeting Thursday, at which time price talk is expected to be announced.

UBS and Bank of America are the lead banks on the deal.

Proceeds will be used to refinance the company's existing credit facility at a lower interest rate, with new financial covenants and a less restrictive policy towards the payment of dividends.

Subject to the closing of the refinancing, Knoll plans on declaring and paying quarterly dividends of $0.10 per share on its common stock, double its current quarterly dividend.

Knoll is an East Greenville, Pa., designer and manufacturer of branded office furniture products and textiles.

© 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.