888 Holdings shops $500 million term loan B at SOFR plus 525 bps

By Sara Rosenberg

New York, June 24 – 888 Holdings plc (888 Acquisitions) is talking its $500 million six-year senior secured covenant-lite term loan B at SOFR plus 10 basis points CSA plus 525 bps with a 0.5% floor and an original issue discount of 92 to 93, according to a market source.

The term loan has 101 hard call protection for one year and amortization of 1% per annum, the source said.

Morgan Stanley Senior Funding Inc., JPMorgan Chase Bank, Mediobanca and Barclays are the joint bookrunners on the deal that launched with a call on Thursday. JPMorgan is the administrative agent.

Commitments are due at 10 a.m. ET on Thursday, the source added.

Proceeds will be used with existing cash reserves to help fund the acquisition of William Hill International, comprising all operations outside the United States of William Hill and Mr. Green, from Caesars Entertainment Inc. for an enterprise value of between £1.95 billion and £2.05 billion; to repay some existing debt at William Hill International; to pay fees and expenses; and for working capital and general corporate purposes.

The company also plans on getting a £401 million equivalent euro term loan A due 2028, a £358 million term loan A due 2028, which is expected to be initially held and funded by one or more of the underwriters, a £150 million revolving credit facility due 2028, euro senior secured fixed-rate notes due 2027 and euro senior secured floating-rate notes due 2028 for the transaction.

888 is an online betting and gaming company. William Hill International is a gaming company.

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