Russell launches $650 million term loan B at Libor plus 450-475 bps

By Sara Rosenberg

New York, April 14 – Russell Investments launched on Thursday its $650 million seven-year covenant-light term loan B with price talk of Libor plus 450 basis points to 475 bps with a 1% Libor floor and an original issue discount of 98.5, according to a market source.

The term loan has 101 soft call protection for six months, the source said.

The company’s $700 million credit facility (Ba2/BB/BB) also includes a $50 million five-year revolver.

Barclays, Macquarie Capital (USA) Inc. and Credit Suisse Securities (USA) LLC are the bookrunners on the deal.

Commitments are due at 5 p.m. ET on April 28.

Proceeds will be used to help fund the buyout of the company by TA Associates and Reverence Capital Partners from London Stock Exchange Group plc in a transaction valued at $1.15 billion, subject to customary closing adjustments.

Closing is expected in the first half of this year, conditioned on regulatory and other required approvals.

Net leverage is 3.9 times, the source added.

Russell Investments is a Seattle-based asset manager.

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