Osmose Holdings to launch $265 million credit facility on Thursday

By Sara Rosenberg

New York, April 11 - Osmose Holdings Inc. is scheduled to hold a bank meeting at 2 p.m. ET on Thursday to launch a proposed $265 million credit facility (B+), according to a market source.

Credit Suisse Securities (USA) LLC and Macquarie Capital are the lead banks on the deal.

The facility consists of a $25 million five-year revolver and a $240 million six-year first-lien term loan, the source said.

Price talk on the term loan is Libor plus 550 basis points with a 1.25% Libor floor and an original issue discount of 98, the source continued.

The term loan includes 101 soft call protection for one year.

Proceeds will be used to fund the acquisition of the company by Oaktree Capital Management.

Other funds will come from $189 million of equity.

Total leverage is 3.5 times.

Osmose is a Buffalo, N.Y.-based provider of wood preservation technology as well as utility and railroad asset management.

© 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.