Archroma increases term loan B amount to $320 million

By Sara Rosenberg

New York, Sept. 30 - Archroma increased the size of its five-year term loan B to $320 million from $310 million, according to a market source.

Pricing on the B loan remained at Libor plus 825 basis points with a 1.25% Libor floor and an original issue discount of 98, and the debt is still non-callable for one year, then at 101 in year two.

Amortization is 1% per annum.

In addition to the term loan B, the company's $360 million senior secured credit facility includes a euro equivalent $40 million 41/2-year revolver, downsized from $50 million.

Jefferies Finance LLC is leading the deal.

Proceeds will be used to help fund SK Capital Partners' acquisition of the textile chemicals, paper specialties and emulsions businesses (to be named Archroma) of Clariant International for about $500 million and the assumption of some pension liabilities.

Together, the businesses generate revenues of around $1.3 billion.

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