| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers D > Headlines for Duquesne Light Holdings Inc. > News item |
Duquesne $1.445 billion credit facility post-summer business
By Sara Rosenberg
New York, July 13 - Duquesne Light Holdings anticipates that a bank meeting for its proposed $1.445 billion credit facility will not occur until at least after the summer, according to a market source.
Barclays and Dresdner are the joint lead arrangers and bookrunners on the deal, with Barclays the administrative agent.
The facility consists of a $75 million revolver at the operating company level, a $200 million revolver for capital spending at the holding company level and a $1.17 billion term loan at the holding company level, the source said.
Proceeds will be used to help fund the acquisition of Duquesne by Macquarie Infrastructure Partners and Diversified Utility and Energy Trusts, to repay existing Duquesne debt and preference shares, and for capital expenditure and general corporate purposes.
Other acquisition financing will come from $954 million in Macquarie Consortium cash equity and $141 million in newly issued shares of Duquesne contributed by members of the Consortium.
Under the acquisition agreement, the Consortium will purchase Duquesne for $20.00 per share in cash. The transaction has a total equity market value of $1.59 billion plus the Consortium will also assume $148 million of Duquesne's preferred and preference shares on issue as well as $1.26 billion of long-term debt.
The transaction, which is expected to close in the first quarter of 2007, is subject to customary closing conditions, including shareholders approval and various regulatory approvals.
Following the acquisition, Duquesne, a Pittsburgh-based electric utility company, will be a wholly owned subsidiary of Castor Holdings LLC.
© 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.