Animal Health plans $250 million facility for purchase by Lextron

By Sara Rosenberg

New York, April 4 - Animal Health International Inc. has received a commitment for a $250 million senior secured credit facility to help fund its acquisition by Lextron Inc., according to a PREM14A filed with the Securities and Exchange Commission on Monday.

U.S. Bank is the lead bank on the deal.

Under the agreement, Lextron, with support from Leonard Green & Partners LP, will buy Animal Health for $4.25 per share, or about $111 million, plus the repayment of outstanding debt for a total purchase price of about $251 million.

Other funds for the transaction will come from up to $125 million of equity from Leonard Green, of which $100 million will be used to fund a portion of the purchase consideration and $25 million will be used to fund the redemption of capital stock.

Closing on the transaction is expected by June 30, subject to stockholder approval, antitrust clearance and certain other customary conditions.

The new combined company will operate under the umbrella of the Animal Health name.

Animal Health is a Westlake, Texas-based seller and distributor of animal health products, supplies, services and technology. Lextron is a Greeley, Colo.-based distributor of animal health products for the livestock industry.

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