Swedish private investment firm EQT Partners has entered into discussions with lenders to raise £1.2 billion for a proposed deal to acquire veterinary drug company Dechra Pharmaceuticals Plc in what would be one of the UK’s largest take-private deals so far this year, according to a report by Bloomberg.
Swedish private investment firm EQT Partners has entered into discussions with lenders to raise £1.2 billion for a proposed deal to acquire veterinary drug company Dechra Pharmaceuticals Plc in what would be one of the UK’s largest take-private deals so far this year, according to a report by Bloomberg.
The report cites unnamed sources familiar with the matter as revealing that EQT has approached both banks and private credit funds over debt packages ranging from £1 billion to £1.2 billion to help finance the deal, and has been positively received by both types of lender.
According to Bloomberg’s sources, any funding raised by banks would likely be denominated in euros and dollars, while private credit firms may also provide sterling
Under the terms of its proposed deal to acquire Dechra, EQT will pay investors 4070 pence a share, equating to a value of about £4.6 billion. The offer reflects a premium of 51% on the closing stock price before news of the potential deal broke.
