Clarke American $1.9 billion credit facility to launch Wednesday

By Sara Rosenberg

New York, Feb. 27 - Clarke American Corp. is scheduled to hold a bank meeting on Wednesday to launch its proposed $1.9 billion credit facility, according to a market source.

Credit Suisse, Bear Stearns, Citigroup and JPMorgan are the bookrunners on the deal, with Credit Suisse and Bear Stearns the joint lead arrangers.

The facility consists of a $1.8 billion term loan B and a $100 million revolver, the source said.

Proceeds will be used to fund the acquisition of John H. Harland Co. Under the agreement, parent company M&F Worldwide Corp. is buying Harland for $52.75 per share in cash, representing an approximate transaction value of $1.7 billion.

In addition to funding the acquisition, the new financing will repay Clarke American's existing credit facility debt and senior notes.

M&F is a New York-based producer of licorice products for the tobacco, food, pharmaceutical and confectionery industries. Harland is a Decatur, Ga.-based provider of printed products and software and related services sold to the financial institution market.

© 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.