Alltel sets Monday launch for $15.5 billion credit facility

By Sara Rosenberg

New York, Oct. 31 - Alltel Communications Inc. firmed up timing on the launch of its proposed $15.5 billion senior secured credit facility with the scheduling of a bank meeting for Monday at 1:30 p.m. ET at the Mandarin Oriental Hotel in New York, according to a market source.

Previously, it was rumored that deal could launch as early as this week, but nothing official on timing was available until now.

Goldman Sachs, Citigroup, Barclays and RBS Securities are the joint bookrunners on the credit facility, with Goldman and Citi the joint lead arrangers.

The credit facility consists of a $14 billion 71/2-year term loan and a $1.5 billion six-year revolver, according to filings with the Securities and Exchange Commission.

There is a possibility that the term loan debt will be multi-tranched like TXU and First Data Corp., the source added.

Proceeds from the credit facility will be used to help fund the leverages buyout of the company by TPG Capital and GS Capital Partners for $71.50 per share in cash. The transaction is valued at $27.5 billion.

Other acquisition financing will come from $7.7 billion of high-yield notes, comprised of $4.7 billion senior unsecured cash pay notes and $3 billion senior unsecured PIK notes, and up to $4.6 billion of equity, the SEC filings said.

Alltel is a Little Rock, Ark., provider of wireless voice and data communications services.

© 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.