Four banks have underwritten a debt financing backing the acquisition of publicly-listed Hong Kong-based international schools operator Nord Anglia Education Inc, banking sources said.
Nord Anglia said it would be taken private by Canada Pension Plan Investment Board (CPPIB) and Baring Private Equity Asia on April 25, in a deal that values the company at US$4.3 billion, including debt.
Deutsche Bank, HSBC, Credit Suisse and Macquarie have underwritten a debt financing which is expected to be in the form of leveraged loans, denominated in dollars and euros, the banking sources said.
The financing will be syndicated to investors in the United States and Europe and is expected to be welcomed by the cash-rich buy-side hungry for event-driven paper, amid a dearth of new issuance this year.
CPPIB, Baring Private Equity Asia and Nord Anglia were not immediately available to comment.
Baring has a 67 percent stake in Nord Anglia, which operates 43 schools in 15 countries.
The deal includes a so-called go-shop period, during which Nord Anglia can evaluate proposals from other buyers for 30 days.
By Claire Ruckin and Carol Zhong
(Editing by Christopher Mangham)
Photo courtesy of Nord Anglia Education Inc