Heinz talks $2.1 billion 7.5-year notes at 4½% area, pricing Friday

By Paul A. Harris

Portland, Ore., March 21 - Heinz talked its $2.1 billion offering of 7.5-year second-lien senior secured notes (B1/BB-/BB) with a yield in the 4½% area on Thursday, according to a syndicate source.

Books closed at 5 p.m. ET Thursday and the deal is set to price on Friday.

Wells Fargo Securities LLC is the left bookrunner for the Rule 144A and Regulation S with registration rights deal.

J.P. Morgan Securities LLC, Barclays and Citigroup Global Markets are the joint bookrunners.

BB Securities Ltd., BNP Paribas, Credit Suisse Securities (USA) LLC, HSBC Securities (USA) LLC, Banco Itau, Mitsubishi UFJ, PNC Capital Markets, Rabobank, RBC Capital Markets, SMBC and UBS Investment Bank are the co-managers.

The notes become callable in two years at par plus 50% of the coupon.

Upon release from escrow, the proceeds will be used to help fund the acquisition of Heinz by Berkshire Hathaway and 3G Capital and to fund the repayment of existing debt.

The issuing entity is special purpose vehicle Hawk Acquisition, Inc.

Heinz is a Pittsburgh-based food product company.

© 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.