Ineos firms U.S. loan at $500 million, euro loans at €425 million

By Sara Rosenberg

New York, Jan. 31 – Ineos Group Holdings finalized the size of its U.S. seven-year term loan B at $500 million, versus previous talk of a minimum $500 million, and the size of its euro seven-year term loan B at €425 million, versus revised talk of a minimum €400 million and initial talk of a minimum €300 million, according to a market source.

Pricing on the U.S. term loan is SOFR plus 375 basis points, and pricing on the euro term loan is Euribor plus 400 bps.

Both term loans have a 0% floor, an original issue discount of 99 and 101 soft call protection for six months.

Previously in syndication, pricing on the U.S. loan firmed at the low end of the SOFR plus 375 bps to 400 bps talk, and pricing on the euro term loan was set at the low end of the Euribor plus 400 bps to 425 bps talk.

Barclays is the physical bookrunner on the U.S. term loan and a joint global coordinator. Barclays, Deutsche Bank and Santander are joint physical bookrunners on the euro term loan and joint global coordinators. Credit Agricole, Goldman Sachs and JPMorgan Chase Bank are joint global coordinators. ABN Amro, Commerzbank, ING, Intesa, KBC, Lloyds and NatWest are mandated lead arrangers. Barclays is the agent.

The company is also getting $725 million of senior secured notes and €850 million of senior secured notes.

Initially, the company was planning on raising €2 billion equivalent across the term loans and the notes, but that was recently upsized to a minimum €2.1 billion equivalent and then finalized on Wednesday at €2.4 billion equivalent.

Proceeds from the debt will be used to refinance part of the company’s 2025 and 2026 maturities, for acquisition financing and to add cash to the balance sheet to prefund Project One, and, due to the upsizing, to tender for additional bonds.

Ineos US Finance LLC is the borrower on the U.S. term loan, and Ineos Finance plc is the borrower on the euro term loan.

Ineos is a chemical company.

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