CACI expects to use new term loan debt for L-3 National Security buy

By Sara Rosenberg

New York, Dec. 8 – CACI International Inc. plans to get $300 million in incremental debt financing that could come in the form of an expansion of its term loan A or a new term loan B to help fund its purchase of L-3 National Security Solutions Inc., company officials said in a conference call on Tuesday.

Bank of America Merrill Lynch is the lead bank on the loan.

Other funds for the $550 million acquisition will come from borrowing under the company’s existing $850 million revolving credit facility and available cash.

Expected pro forma net debt to LTM adjusted EBITDA is around 4.2 times at close, officials added in the call.

Closing is anticipated during CACI’s third quarter, ending March, subject to regulatory approvals.

CACI is an Arlington, Va.-based provider of information solutions and services in support of national security missions and government transformation for Intelligence, Defense, and Federal Civilian customers. L-3 National Security is a Reston, Va.-based provider of specialized and differentiated strategic solutions, services and products for U.S. national security agencies and Department of Defense critical missions.

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