Del Frisco’s plans $465 million credit facilities for buyout

By Sara Rosenberg

New York, July 23 – Del Frisco’s Restaurant Group Inc. has received a commitment for $465 million of senior secured credit facilities to help fund its acquisition by L Catterton, according to a PREM14A filed with the Securities and Exchange Commission on Tuesday.

Credit Suisse Securities (USA) LLC, Jefferies LLC and Societe Generale are the lead arrangers on the deal.

The facilities consist of a $40 million revolver and a $425 million term loan.

The company may elect to reduce the revolver by $10 million and the term loan by $150 million if its steak restaurant assets are separated on or prior to the closing.

Under the agreement, Del Frisco’s is being bought for $8.00 per share. The transaction is valued at about $650 million.

Other funds for the buyout will come from $555 million of equity.

Closing is expected by the fourth quarter, subject to approval by Del Frisco’s stockholders, expiration or termination of the applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, and other customary conditions.

Del Frisco’s is an Irving, Texas-based restaurant company.

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