Banks have launched the sale of an almost $4.7bn leveraged loan to help finance Clayton, Dubilier & Rice (CD&R)’s acquisition of Sealed Air, according to a report by Bloomberg.
JPMorgan is reportedly leading the placement of $4.1bn in US dollar-denominated loans, while BNP Paribas is arranging a $600m euro-denominated loan. The financing is being supported by a broader syndicate of around 20 banks.
The loans form part of a wider $7.15bn debt package backing the transaction, which also includes $1.35bn of senior secured notes, $600m equivalent of euro-denominated senior secured notes, and $500m of senior unsecured notes.
Initial pricing discussions are reportedly set at 350–375 basis points over benchmark rates for the dollar tranche and 375–400 basis points for the euro tranche.
The loans are being offered with an original issue discount of 98.5 and include six months of 101 soft-call protection. Margin step-downs are linked to leverage thresholds, alongside an additional reduction tied to a potential IPO. A lender call is scheduled for 23 March, with commitments due by 31 March.
CD&R agreed to acquire Sealed Air, the maker of Bubble Wrap, in November in a deal valuing the company at $6.2bn. The transaction is expected to complete in mid-2026.
