Three banks have been mandated on a 339 million euro equivalent leveraged loan financing backing the acquisition of French calibration services provider Trescal, banking sources said.
OMERS Private Equity, the private equity investment arm of the OMERS pension plan agreed to buy a majority stake in Trescal from Ardian, it was announced in November 2017. The transaction valued the company at approximately 670 million euro.
The buyout was funded with equity and the sponsor has now mandated banks on the underwritten financing.
Bank of Ireland, BNP Paribas and SMBCE are leading the financing that comprises a 264 million euro equivalent seven-year covenant-loose term loan B and a 75 million euro six-year multipurpose RCF.
A bank meeting is set to take place in a couple of weeks to launch the financing for syndication. At that time, pricing on the loans will emerge, the sources said.
Headquartered in Paris, Trescal operates across more than 110 sites in 22 countries covering Europe, North and South America and Asia, and serves more than 40,000 customers over a range of sectors, including defense, aerospace, telecommunications, transportation and automotive.