Aramark finalizes $1.79 billion term loan at Libor plus 200 bps

By Sara Rosenberg

New York, Dec. 6 – Aramark Services set pricing on its $1,785,000,000 term loan at Libor plus 200 basis points, the low end of the Libor plus 200 bps to 225 bps talk, according to a market source.

Also, the issue price on the term loan was tightened to par from 99.75, the source said.

The term loan still has a 0% Libor floor.

J.P. Morgan Securities LLC is the lead bank on the deal.

Proceeds will be used to help fund the acquisition of Avendra LLC for $1.35 billion, or a net purchase price of $1.05 billion after adjusting for the value of the anticipated tax benefits.

Closing on the transaction is expected by year-end, subject to customary conditions and regulatory approvals.

Aramark is a Philadelphia-based professional services company that provides food, hospitality and facility management services as well as uniform and work apparel. Avendra is a Rockville, Md.-based hospitality procurement services provider.

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