Debt includes £530m of senior and £105m of mezzanine. Senior debt is made up of a £60m seven-year term loan A paying 275bp over Libor, an £85m eight-year term loan B paying 337.5bp, an £85m nine-year term loan C paying 387.5bp along with £20m of capex facilities and a £10m revolving credit facility both seven-year and paying 275bp. An additional £105m of 10-year mezzanine pays 975bp. A bank meeting was held in London on June 5. Leverage is 4.4x through the senior debt and 6.5x in total.
Twelve banks joined during a senior phase which ran from April to the end of May: Bank of Ireland, Calyon, DZ, HSBC, HSH, Lloyds TSB, Marfin Popular Bank, Mediobanco, Natixis, Nordea and WestLB.
Debt facilities include: a US$300m term loan A paying 325bp, a US$275m term loan B paying 325bp and a US$275m term loan C paying 375bp. In addition, undrawn facilities comprise a US$150m revolver, a US$75m lease backstop facility (reduced from US$150m), a US$50m acquisition/capex facility and US$50m in letters of credit.
Banks are invited to join the general syndication on tickets of US$40m paying a 105bp fee and US$25m paying a 95bp fee. General syndication will focus mainly on banks, though some funds have also been invited.
CHC has its headquarters in Scotland and is the world’s largest provider of helicopter services to the global offshore oil and gas industry; some 60% of its revenues come from its European operations.
Private equity sponsor First Reserve specialises in energy industry buyouts, including the buy-out of oilfield services company Abbot Group, agreed in December.
Bookrunners and mandated lead arrangers DZ Bank and UniCredit HVB have launched a joint lad arranger phase of syndication of the €265m credit facilities backing the secondary buyout of Novem by Barclays Private Equity from Taros Capital.
Leads described initiation of the senior phase as a quiet launch. GE Commercial Finance joined the transaction as mandated lead arranger and bookrunner early in the process.
The total credit arrangement consists of senior and mezzanine facilities. Opening net leverage is 3.9x total debt.
Germany-based Novem manufactures interior trims for the automotive industry, with a market share of 46% in wood trims and 25% in metal trims. It reported sales of €287.2m for the financial year ending on March 31 2008.
Syndication closed oversubscribed, with mainly bank commitments and one insurance fund investing.
The business was acquired in a secondary buyout from Germany-based Equita. The buyout transaction closed on March 7. Z&J manufactures mostly customised heavy-duty valves and equipment for the petrochemical, iron & steel and glass industries.
Bookrunner and mandated lead arranger Barclays have closed syndication of a €128m deal backing Alpha Associes‘ buyout of French fish processing business Friel. Fortis and CADIF joined as mandated lead arranger. The deal closed with a large oversubscription.
Senior debt is split between a €52m seven-year term loan A paying 225bp, a €27m eight-year term loan B paying 275bp, a €10m nine-year term loan C paying 325bp and a €12.5m 12-year revolving credit facility paying 225bp. A further 422.5m 10-year mezzanine tranche has been preplaced with three funds and was also arranged by Barclays.
Leverage is 3.7x through the senior debt and 4.8x through the total.