OM Group readies launch of $900 million credit facility for Thursday

By Sara Rosenberg

New York, July 5 - OM Group Inc. is set to hold a bank meeting on Thursday with a 10 a.m. ET start time at the Le Parker Meridien in New York to launch a proposed $900 million senior secured credit facility, according to a market source.

Bank of America Merrill Lynch, PNC Capital Markets LLC and BNP Paribas Securities Corp. are the lead banks on the deal, with Bank of America the left lead.

The facility consists of a $200 million revolver, a $100 million term loan A and a $600 million U.S.- and euro-denominated term loan B, the source said.

Proceeds will be used to fund the €700 million acquisition of Vacuumschmelze Holding GmbH, a Hanau, Germany-based manufacturer of industrial use advanced magnetic materials and fabricated products.

In the 12-month period ending March 31, Vacuumschmelze recorded revenues of about €389 million and operating profit of €54 million, on an IFRS basis.

Closing is expected by the end of the third quarter, subject to customary conditions and regulatory approvals.

OM Group is a Cleveland-based solutions provider of specialty chemicals, advanced materials, electrochemical energy storage and unique technologies.

© 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.