Bookrunners have closed syndication of the €970m all-senior facilities backing the buyout of Xella, after cancelling what was an ongoing general syndication due to market volatility.
A source close to the deal said the general syndication, which launched in mid-September, had been joined by a small number of banks, but stressed that senior lenders were at their hold levels following a JLA phase.
Debt backs the acquisition of Xella by PAI Partners and Goldman Sachs Capital Partners from Haniel Group closed and funded on August 29.
Global co-ordinators are BNP Paribas, RBS and UniCredit (HVB). They and MLAs Calyon and LBBW were joined in the joint lead arranger phase by Erste Bank, KfW, Mediobanca, Commerzbank, HSH Nordbank, WGZ and GE. Tickets of €25m for 110bp and €15m for €95m were offered.
Facilities are split between a €270m seven-year term loan A paying 300bp over Euribor, a €275m eight-year term loan B paying 375bp, a €275m nine-year term loan C paying 425bp, a €75m seven-year revolving credit facility paying 300bp and a €75m seven-year acquisition/capex line paying 300bp.
Net senior and total leverage at closing was 2.9x based on 2007 adjusted Ebitda of €271m, and has since fallen to 2.7x based on July 2008 adjusted LTM Ebitda. Equity and quasi-equity is approximately 50%.