Formula 1 increases first-lien term loan size to $3.15 billion

By Sara Rosenberg

New York, Feb. 23 – Formula 1 (Delta Topco Ltd.) upsized its first-lien term loan to $3.15 billion from $2.85 billion, according to a market source.

Pricing on the loan remained at Libor plus 325 basis points with a step-down to Libor plus 300 bps after six months and if a B2 corporate rating is achieved, a 1% Libor floor and an original issue discount of 99.5.

The term loan still has 101 soft call protection for six months.

KKR Capital Markets is the lead on the deal.

Proceeds will be used to refinance a $3.15 billion first-lien term loan priced at Libor plus 375 bps with a 1% Libor floor.

The $300 million of cash on hand that was going to be used to pay down the existing first-lien term loan with the refinancing will now instead be used to repay a portion of the company’s existing second-lien term loan, the source added.

Recommitments were scheduled to be due at the end of the day on Thursday.

Formula 1 is a motorsports business.

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