International Financing Review February 29 2020 65LOANS LEVERAGED LOANSBank of China committed US$500m and
PNC committed US$325m to the loan, which
was raised earlier this month.
The company has drawn US$7.5bn of the
loan.
The company was initially looking for at
least US$10bn of loans as it sought to shore
up its balance sheet ahead of earnings in an
attempt to reassure investors it had
SUFlCIENTûACCESSûTOûSHORT
TERMûLIQUIDITY
4HEûMOVEûCAMEûASûlNANCIALûPRESSURESû
mounted for the aircraft manufacturer
following a production halt on its 737 MAX
airliner.
4HEûlNANCINGûISûSETûUPûASûAûDELAYED
DRAWû
term loan that matures in two years.
Citigroup led the transaction, which opens
at 100bp over Libor, in line with Boeing’s
current borrowing costs. The loan pays a
9bp fee before the company draws down on
the funds. JP Morgan, Wells Fargo and Bank of
America also signed on as leads.
Fourteen additional banks initially joined
the lead banking group with commitments
of between US$325m to US$850m. The four
leads came in with US$1.25bn each. With
the two additional banks joining after the
closing, the banking group grew to 20
lenders.WP CAREY SIGNS US$1.8bn RCFReal estate investment trust WP CAREY has
signed a US$1.8bn revolving credit facility.
Bank of America is the administrative agent
on the deal, and lead arranger with JP
Morgan and Wells Fargo.
The credit facility amends and extends a
lNANCINGûAGREEDûONû&EBRUARYûû
The company also lined up a term loan for
£150m and a delayed-draw term facility for
US$105m.
All facilities mature on February 22 2025.
Pricing for the revolving credit facility
opens at 85bp over Libor with a 20bp facility
fee. Pricing for the term facility opens at
95bp over Libor.
The delayed-draw term facility has a fee of
20bp on unused commitments.
WP Carey is rated BBB by S&P and Baa2 by
Moody’s.
Other lenders are Barclays, Capital One, US
Bank, BMO Harris Bank, PNC Bank, Regions,
BBVA, Citizens, Fifth Third, Scotiabank, RBC, BNY
Mellon and Signature Bank.APPLIED MATERIALS BAGS RCFSemiconductor manufacturing company
APPLIED MATERIALSûHASûSIGNEDûAû53BNûlVE
year revolving credit facility.
JP Morgan is the administrative agent on
the deal. Citigroup, MUFG, US Bank, Wells
Fargo, Bank of America and Mizuho are
syndication agents.BNP Paribas and Goldman Sachs are
documentation agents.
The revolving credit matures on February
21 2025.
Pricing is based on a ratings grid. For A+/
A1 or above the margin is 62.5bp and the
commitment fee is 5bp; for A/A2 it is 75bp
and 6.5bp; for A-/A3 it is 87.5bp and 8bp; for
BBB+/Baa1 it is 100bp and 10bp; and for
lower than BBB+/Baa1 or unrated it is
112.5bp and 12.5bp.
Applied Materials is rated A- by S&P and
A3 by Moody’s.KIMCO REALTY NETS US$2bn RCFREIT KIMCO REALTY has signed a US$2bn
revolving credit that will mature on March
17 2024.
The loan replaced a US$2.25bn revolving
credit signed in February 2017.
Pricing on the deal opens at 77.5bp over
Libor.
JP Morgan is the administrative agent, and
bookrunner with Wells Fargo, PNC Bank and
RBC Bank.
Kimco is rated BBB+ by S&P and Baa1 by
Moody’s.LEVERAGED LOANS
UNITED STATES
BANKS UNDERWRITE STG LOANFour banks have underwritten a US$1.425bn
THREE
PARTûDEBTûlNANCINGûINûSUPPORTûOFûAû
SYMPHONY TECHNOLOGY GROUP-led consortium
acquisition of digital risk manager RSA from
Dell Technologies.
The debt comprises a US$1bn term loan B,
a US$350m second-lien term loan and a
US$75m revolving credit facility.
UBS, Jefferies, Barclays and Deutsche Bank are
ARRANGINGûTHEûlNANCING
Private equity investor STG, Ontario
Teachers’ Pension Plan and AlpInvest
Partners agreed to acquire RSA for
US$2.075bn.
The acquisition includes RSA Archer, RSA
NetWitness Platform, RSA SecurID, RSA
Fraud and Risk Intelligence and RSA
Conference.
The deal is expected to close in the next
six to nine months.
UBS and Jefferies advised the STG-led
consortium and Morgan Stanley advised Dell
on the sale of RSA.
Computer manufacturer Dell is expected
to use the majority of the proceeds from the
sale of RSA to reduce debt, Moody’s said.Dell has a goal to reduce its adjusted debt-
to-Ebitda ratio to 3.0 times or below, the
ratings agency said.
The computer company acquired RSA in
2016 through the purchase of cloud
computing multinational EMC.
Dell raised US$4.75bn through a six-year
lRST
LIENû4,"ûINû3EPTEMBER ûOFFEREDûATûBPû
OVERû,IBORûWITHûAûûmOOR
$ELLûISûRATEDû"A"" "" ûANDûTHEûlRST
LIENû
debt is rated Baa3/BBB-/BBB-.
IT services provider SCIENCE APPLICATIONS
INTERNATIONAL has announced terms for a
US$600m incremental term loan B.
The seven-year TLB is being marketed at
BPûOVERû,IBORûWITHûAûûmOOR ûû/)$û
and 101 soft-call protection for six months.
Citigroup, Bank of America, MUFG, PNC,
SunTrust, US Bank and Wells Fargo are lead
arrangers. Capital One, SMBC and TD Securities
are co-managers.
#ORPORATEûRATINGSûAREû"A"" ûANDûlRST
lien ratings are Ba1/BB+.
Proceeds will support the company’s
US$1.2bn cash acquisition of Unisys Federal.
The transaction will raise SAIC’s debt to
Ebitda to roughly 4.8 times from 3.8 times
on an adjusted basis, according to Moody’s.AMERICAS LOANS BOOKRUNNERS – FULLY
SYNDICATED VOLUME
BOOKRUNNERS: 1/1/2020 TO DATE
Managing No of Total Share
bank or group issues US$(m) (%)Proportional credit
Source: Refinitiv SDC code: R71 BofA 110 31,022.44 11.4
2 JP Morgan 97 30,116.80 11.1
3 Citigroup 71 29,408.40 10.8
4 Wells Fargo 75 21,434.58 7.9
5 Credit Suisse 47 17,157.18 6.3
6 Goldman Sachs 60 13,274.09 4.9
7 Morgan Stanley 34 11,711.66 4.3
8 RBC 51 9,763.26 3.6
9 BMO 46 6,728.64 2.5
10 Barclays 48 6,581.46 2.4
Total 340 271,687.16US LEVERAGED LOANS
BOOKRUNNERS: 1/1/2020 TO DATE
Managing No of Total Share
bank or group issues US$(m) (%)Excluding Project Finance.
Source: Refinitiv SDC code: P21 Citigroup 47 17,081.07 10.5
2 BofA 75 14,896.61 9.2
3 JP Morgan 57 14,648.28 9.0
4 Credit Suisse 39 12,846.81 7.9
5 Goldman Sachs 54 11,724.48 7.2
6 Wells Fargo 39 9,521.15 5.9
7 Morgan Stanley 27 6,807.08 4.2
8 RBC 32 6,495.43 4.0
9 Barclays 39 5,980.36 3.7
10 Deutsche Bank 33 5,441.95 3.4
Total 201 162,420.819 IFR Loans 2322 p 55 - 72 .indd 65 28 / 02 / 2020 18 : 11 : 32