ALJ Regional to get $125 million credit facility with Phoenix purchase

By Sara Rosenberg

New York, July 13 – ALJ Regional Holdings Inc. plans on getting a $125 million credit facility to fund its $90 million acquisition of Phoenix Color Corp. from Visant Corp., according to a news release.

Cerberus Business Finance LLC is the lead on the debt.

The facility consists of a $30 million revolver and a $95 million term loan.

In addition to funding the acquisition, the credit facility, along with the sale of $1.52 million of ALJ stock, will be used to refinance the outstanding obligations of ALJ, Faneuil Inc. and Carpets N’ More and to provide working capital facilities to all three of ALJ’s subsidiaries.

Closing on the acquisition is expected by Oct. 5, subject to customary conditions, including the receipt of debt financing and applicable consents and approvals.

ALJ is a provider of business process outsourcing and co-sourced services to the healthcare, utility, toll and transportation industries, and a provider of multiple finishing products for the commercial, retail and homebuilder markets. Phoenix Color is a manufacturer of book components, educational materials and related products.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.