Anchor Glass to pay $145 mln dividend to shareholders, including KPS

KPS Capital Partners LP appears to be getting its money back on its Anchor Glass Container Corp investment in less than a year.

Anchor Glass is prepping a $465 million loan that will back a dividend recap,Thomson Reuters Loan Pricing Corp (LPC) is reportingCredit Suisse is leading the deal, LPC said.

Tampa, Florida-based Anchor is using the proceeds to cut debt, pay fees and expenses, as well as fund a roughly $145 million dividend to shareholders, Standard & Poor’s Ratings Services said.

The distribution comes less than a year after KPS acquired Anchor Glass, which makes glass packaging products used by the liquor, beverage and food sectors.

KPS closed its buy of Anchor in June 2014. The firm invested $138.5 million equity in the deal, Moody’s Investors Service said at the time.

KPS, which is a special situations investor, closed its fourth fund at $3.5 billion in 2013. That fund generated a -5.58 percent average IRR and a 0.95x average multiple as of Dec. 31, according to data provider Bison. KPS’s third fund, which collected $2 billion in 2009, produced a 24.1 percent net IRR and a 2.2 investment multiple as of Sept. 30, according to the California Public Employees’ Retirement System.

Executives for KPS declined comment. Anchor Glass couldn’t be reached for comment.

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