Roundy's comes with $825 million credit facility, $325 million bonds; bank meeting Thursday

By Paul A. Harris

St. Louis, Oct. 4 - Roundy's Supermarkets Inc. will hold a bank meeting Thursday for its $825 million credit facility, according Edward Kitz, Roundy's group vice president of legal risk and treasury.

Meanwhile a roadshow for a $325 million two-part offering of high-yield bonds is expected to launch in the next two weeks, Kitz added.

Bear Stearns & Co. and Goldman Sachs & Co. will lead on both the bank and bond portions of the financing.

Proceeds will be used to repay the company's existing senior credit facility - approximately $118 million as of July 2, 2005 - as well as to fund the tender for its $300 million of 8 7/8% senior subordinated notes due 2012 and to fund a $550 million dividend to its shareholder.

The bank loan is comprised of a $125 million revolver and a $700 million term loan.

The $325 million Rule 144A high-yield bond offering, meanwhile, will come in two parts: $175 million of seven-year floating-rate senior notes and $150 million of eight-year senior subordinated notes.

Roundy's is a Milwaukee food retailer and wholesaler.

© 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.