BWAY plans $565 million facility, $200 million bridge loan for buyout

By Sara Rosenberg

New York, April 1 - BWAY Holding Co. revealed that the financing commitment for its acquisition by Madison Dearborn Partners LLC includes a $565 million senior secured credit facility and a $200 million senior unsecured bridge loan, according to an 8-K filed with the Securities and Exchange Commission on Thursday.

Bank of America and Deutsche Bank are the lead banks on the new debt.

The credit facility consists of a $490 million term loan and a $75 million revolver.

Under the buyout agreement, BWAY shareholders will receive $20 in cash per share. The transaction is valued at roughly $915 million, including the assumption of debt.

Closing is expected to take place in the second or third quarter, subject to shareholder approval, regulatory approvals and other customary conditions.

There is a go-shop period until April 28.

BWAY is an Atlanta-based supplier of general line rigid containers.

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