| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers V > Headlines for Veritas Technologies Corp. > News item |
Veritas postpones loan and bond deals amid poor primary conditions
By Sara Rosenberg
New York, Nov. 17 – Veritas Technologies Corp. decided to postpone its proposed credit facility and notes offerings due to market conditions, according to a market source.
It is anticipated that the debt financing may return to market sometime in the first quarter of 2016, the source said.
The credit facility was launched early this month as a $300 million five-year revolver, a $2.45 billion seven-year covenant-light term loan and a €760 million seven-year covenant-light term loan.
Price talk on both term loans was Libor/Euribor plus 450 basis points to 475 bps with a 1% floor and an original issue discount of 98 to 99, and the debt included 101 soft call protection for six months.
Then, last week, the U.S. term loan B was downsized to $1.5 billion from $2.45 billion, a separate $700 million senior secured term loan B held by the underwriters was added, price talk on the U.S. and euro term debt was increased to Libor/Euribor plus 500 bps and the original issue discount on the tranches widened to 95.
With the term loan B downsizing, the company’s senior secured notes offering had been upsized to $750 million from $500 million.
Veritas was also planning on issuing $1,775,000,000 of unsecured notes.
Bank of America Merrill Lynch, Morgan Stanley Senior Funding Inc., UBS AG, Jefferies Finance LLC, Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and Goldman Sachs Bank USA were the lead banks on the credit facility.
Morgan Stanley & Co. LLC, BofA Merrill Lynch, UBS Investment Bank, Jefferies LLC, Citigroup Global Markets Inc. and Goldman Sachs & Co. were the joint bookrunners on the bonds.
Proceeds from the debt and $2.65 billion in sponsor equity were going to fund the buyout of the company by the Carlyle Group from Symantec Corp. for $8 billion in cash.
Veritas is a Mountain View, Calif.-based provider of storage and server management software solutions.
© 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.