Manitowoc sets July 31 retail launch for $2.925 billion credit facility

By Sara Rosenberg

New York, July 24 - Manitowoc Co. Inc. has scheduled a bank meeting for July 31 to launch its proposed $2.925 billion credit facility, according to a market source.

JPMorgan, Deutsche Bank, Morgan Stanley and BNP Paribas are the joint lead arrangers and joint bookrunners on the deal, with JPMorgan the administrative agent, Deutsche and Morgan Stanley as syndication agents, and BNP the documentation agent.

The facility consists of a $400 million five-year revolver talked at Libor plus 325 basis points, a $900 million five-year term loan A talked at Libor plus 325 bps, a $300 million 18-month term loan X talked at Libor plus 325 bps and a $1.325 billion six-year term loan B talked at Libor plus 350 bps, the source said.

The term loan B has a 3% Libor floor, the source added.

Proceeds will be used to help fund the acquisition of Enodis plc for 328 pence per Enodis share, resulting in a transaction valued at about $2.7 billion, including the assumption of Enodis' net debt, which was about $249 million/£125 million as of March 29.

The transaction is expected to close in the fourth quarter and it will be structured as a court-sanctioned scheme of arrangement under the laws of the United Kingdom.

Manitowoc is a Manitowoc, Wis.-based provider of lifting equipment for the construction industry, manufacturer of cold-side equipment for the foodservice industry, and provider of shipbuilding, ship repair and conversion services. Enodis is a Tampa, Fla.-based food and beverage equipment manufacturer.

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