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Rlpc kkr takes $400 mln dividend in capsugel loan refinancing


Drug capsule maker Capsugel is refinancing $1 billion of leveraged loans in a deal that also finances a $400 million dividend payment to its private equity owner KKR, banking sources said on Tuesday. KKR bought Capsugel from Pfizer in 2011 for $2.38 billion, backed by around $1 billion of leveraged loans, according to Thomson Reuters LPC data. UBS, Citigroup, KKR Capital Markets, Barclays, Deutsche Bank and Mizuho are leading the loan financing, which was shown to institutional investors at a bank meeting on Tuesday. Lenders have been asked to make commitments by July 28.

The financing includes a 355 million euro term loan, which pays 300 basis points over Euribor with a 1 percent Euribor floor, which guarantees a minimum return to investors.

The loans are offered with a 99.75 original issue discount. A $175 million revolving credit is also included, bankers said. Capsugel is also raising a $415 million Payment-In-Kind (PIK) toggle note at the holding company level, which will mostly be used to finance the dividend payment, the bankers said.

KKR declined to comment. Capsugel makes capsules that are used in a variety of medicines.

Rlpc nets holding buyout backed by 12 bln euro loan bankers


A debt financing of up to 1.2 billion euros ($1.66 billion) backing the buyout of Europe's second-largest card payment services company Nets Holding will be launched to investors after Easter, banking sources said on Thursday. Private equity funds Advent International and Bain Capital, along with Danish pension fund ATP agreed to buy Nets from a group of Nordic banks for 17 billion Danish crowns ($3.16 billion) last monthJP Morgan, Nordea, UBS, Danske Bank, Deutsche Bank, Mizuho and Nykredit have arranged a senior loan financing of 1.1-1.2 billion euros, which is denominated in euros and local currency.

The financing is likely to consist of a term loan B tranche and revolving credit facility.

The bank meetings are due to take place in the week of April 21 after the Easter bank holiday. Leverage on the debt financing is around 5.5 times Nets Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) of around 200 million euros.

Advent and Bain declined to comment. ATP was not immediately available to comment. Nets, formed in 2010 through the merger of Norwegian Nordito and Danish PBS, bought Finnish payments company Luottokunta in 2012 and handled more than 6 billion card transactions supporting more than 33 million payment cards last year and more than 500,000 merchants in the Nordics. ($1 = 0.7234 Euros) ($1 = 5.3787 Danish Crowns)

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