Ansys adds $500 million term loan to acquire Livermore Software

By Wendy Van Sickle

Columbus, Ohio, Oct. 21 – Ansys, Inc. amended its credit agreement on Wednesday to provide for a new $500 million term loan to finance its pending acquisition of Livermore Software Technology Corp., according to an 8-K filing with the Securities and Exchange Commission.

The term loan will be funded in full upon the closing of the acquisition and will mature five years from the date of funding.

Principal on the term loan will be payable on the last business day of each fiscal quarter starting with the ninth full fiscal quarter after the funding date at a rate of 5% per annum, increasing to 10% per annum after the next four fiscal quarters.

Interest is Libor plus a range of 112.5 basis points to 175 bps, depending on the company’s leverage ratio or credit ratings, which is the same as prior to the amendment.

BofA Securities, Inc., JPMorgan Chase Bank, NA, Citibank, NA and PNC Capital Markets LLC are the joint lead arrangers and joint bookrunners.

Bank of America, NA is the administrative agent. JPMorgan, Citibank and PNC Bank, NA are the co-syndication agents.

Fifth Third Bank, First National Bank of Pennsylvania and MUFG Bank Ltd. are the co-documentation agents.

Based in Canonsburg, Pa., Ansys develops and markets engineering simulation software. Livermore is a provider of explicit dynamics and other advanced finite element analysis technology, which is being acquired by Ansys for $775 million in cash and stock.

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