Global Connect plans $1.95 billion credit facilities for buyout

By Sara Rosenberg

New York, Nov. 2 – Global Connect (NielsenIQ) has received a commitment for $1.95 billion of credit facilities to help fund its acquisition by Advent International and James Peck, former chief executive officer of TransUnion, from Nielsen Holdings plc, according to an 8-K filed with the Securities and Exchange Commission on Monday.

BofA Securities Inc., UBS Investment Bank, Barclays, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., RBC Capital Markets, MUFG and Wells Fargo Securities LLC are arranging the financing.

The credit facilities consist of a $350 million revolver and $1.6 billion of term loans.

Other funds for the transaction will come from up to $989 million of equity.

Under the agreement, Global Connect is being bought for $2.7 billion and Nielsen will also receive warrants in the new company exercisable in certain circumstances.

Nielsen plans to use net proceeds of the transaction primarily to reduce debt and for general corporate purposes. On a pro-forma basis for the transaction, Nielsen expects year-end 2020 net leverage to be about 4X.

Closing is expected in the second quarter of 2021, subject to approval by Nielsen shareholders, regulatory approvals, consultation with the works council and other customary conditions.

Global Connect is a Chicago-based provider of actionable information to consumer packaged goods manufacturers and retailers. The company will be renamed NielsenIQ in early 2021.

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