Open Solutions to launch $415 million credit facility

By Sara Rosenberg

New York, Oct. 14 - Open Solutions Inc. is scheduled to hold a bank meeting on Monday to launch its proposed $415 million credit facility, according to a market source.

Wachovia is the lead bank on the deal.

The facility consists of a $30 million revolver, a $310 million term loan and a $75 million second-lien term loan, the source said.

Proceeds will be used to help fund its acquisition of The Bisys Group Inc.'s information services group.

In September, when details of the acquisition were announced, the company had expected its credit facility to be slightly smaller with a size of $380 million, consisting of a $30 million revolver, a $290 million first-lien term loan and a $60 million second-lien term loan.

Under the acquisition agreement, Open Solutions will purchase the information services group for a total cash consideration of about $470 million, subject to adjustment.

The transaction, which is expected to close in the fourth quarter, is subject to the termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act, financing, consents and approvals, the receipt of audited final statements for the information services business and other closing conditions.

Open Solutions is a Glastonbury, Conn., provider of integrated, enterprise-wide data processing technologies for banks and credit unions.

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