Accellent to launch $450 million credit facility

By Sara Rosenberg

New York, Oct. 31 - Accellent Inc. is scheduled to hold a bank meeting on Tuesday to launch its proposed $450 million credit facility, according to a market source.

JPMorgan and Credit Suisse First Boston are the lead banks on the deal, with JPMorgan the left lead.

The facility consists of a $75 million six-year revolver and a $375 million seven-year term loan with price talk of Libor plus 225 basis points, the source said.

Ratings of mid-single B are expected for the new deal, the source added.

Proceeds will be used to help fund Kohlberg Kravis Roberts & Co.'s acquisition of Accellent, refinance Accellent's existing senior secured credit facility and 10% senior subordinated notes due 2012 and for working capital purposes.

KKR is acquiring Accellent from KRG Capital Partners and DLJ Merchant Banking Partners in a transaction valued at $1.27 billion.

The acquisition is expected to be completed before year end and is subject to customary closing conditions.

Accellent is a Collegeville, Pa., provider of fully integrated contract manufacturing and design services to medical device manufacturers.

© 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.