| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers A > Headlines for Attachmate Group > News item |
Attachmate to launch $400 million add-on loans, amendment Thursday
By Sara Rosenberg
New York, Jan. 25 - Attachmate Group is scheduled to hold a conference call on Thursday to launch $400 million of incremental term loans and an amendment to its existing credit facility, according to a market source.
Credit Suisse Securities (USA) LLC, RBC Capital Markets LLC, Bank of America Merrill Lynch and Wells Fargo Securities LLC are the lead banks on the deal.
The incremental debt is comprised of a $300 million first-lien term loan due April 27, 2017 talked at Libor plus 575 basis points with a 1.5% Libor floor and an original issue discount of 98, and a $100 million second-lien term loan due Oct. 27, 2017 talked at Libor plus 900 bps with a 1.5% floor and a discount of 98, the source said.
Call protection on the incremental debt matches that of the existing loans. The call protection on the second-lien loan, which was obtained last year, is 103 in year one, 102 in year two and 101 in year three.
With the new deal, the company is seeking an amendment to its existing credit facility to allow for the tack-ons and the use of proceeds to fund a dividend to sponsors.
As part of the amendment, the existing first-lien term loan will be repriced to Libor plus 575 bps from Libor plus 500 bps and the existing second-lien loan will be repriced to Libor plus 900 bps from Libor plus 800 bps, the source added.
The existing loans include a 1.5% Libor floor and were sold at a discount of 99 last year.
Existing first-lien lenders are being offered a 25 bps fee for consents, and second-lien lenders will get a 50 bps fee.
Attachmate is a Seattle-based provider of access and integration software for legacy systems.
© 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.