Solenis readies launch of $750 million term loan B for Tuesday

By Sara Rosenberg

New York, May 15 – Solenis is set to hold a lender call at 9:30 a.m. ET on Tuesday to launch a non-fungible $750 million incremental term loan B due Nov. 9, 2028, according to a market source.

Goldman Sachs Bank USA, BofA Securities Inc., BMO Capital Markets, HSBC Securities (USA) Inc., Deutsche Bank Securities Inc., Citigroup Global Markets Inc., Macquarie Capital (USA) Inc. and Nomura are the lead arrangers on the deal.

Proceeds will be used to help fund the acquisition of Diversey Holdings Ltd. in a transaction with an enterprise value of about $4.6 billion, to repay existing Diversey net debt, and to pay related fees and expenses.

Other funds for the transaction will come from $1.625 billion of senior secured notes, $500 million equivalent of euro senior secured notes and about $2 billion of contributed equity.

Under the agreement, Diversey shareholders, other than shareholders affiliated with Bain Capital Private Equity, will receive $8.40 per share in cash. Bain Capital will receive $7.84 per share in cash and will roll over a portion of its shares of Diversey into an affiliate of Solenis in exchange for common and preferred units of such affiliate.

Closing is expected in the second half of this year, subject to customary conditions, including approval by Diversey shareholders and receipt of regulatory approvals.

Solenis, a Platinum Equity portfolio company, is a Wilmington, Del.-based manufacturer of specialty chemicals used in water-intensive industries. Diversey is a Fort Mill, S.C.-based provider of hygiene, infection prevention and cleaning solutions.

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