Bank of America and UBS are arranging a $3.1bn debt package to support Lone Star Funds’ take-private of Hillenbrand, according to a report by Bloomberg. Lone Star agreed in October to take Hillenbrand private for $32 per share, giving the equipment manufacturer an enterprise value of roughly $3.8bn.
The package — spanning leveraged loans and high-yield bonds — will be syndicated to institutional investors early next year and is expected to include tranches in both dollars and euros.
According to public filings, the financing comprises a $1.885bn term loan, a $500m senior secured bridge facility, a $400m revolving credit line and a $350m letter-of-credit facility.
