Banks Commit $10 Bln Financing For Cox Buyout

Citigroup Global Markets and Lehman Brothers have committed $10 billion in unsecured credit facilities to back Cox Enterprises' $7.9 billion proposed acquisition of the 38% publicly-held portion of Cox Communications.

  • 06 Aug 2004
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Citigroup Global Markets and Lehman Brothers have committed $10 billion in unsecured credit facilities to back Cox Enterprises' $7.9 billion proposed acquisition of the 38% publicly-held portion of Cox Communications. Citi and Lehman officials and Richard Jacobson, v.p. and treasurer of Cox Enterprises, did not return calls.

Cox Enterprises currently has a 62% interest in Cox Communications. Citi and Lehman will each provide 50% of the financing and will be credited as the exclusive joint bookrunners, according to the commitment letter filed with the Securities and Exchange Commission. Latham & Watkins will be counsel for the banks.

The new facilities will also replace Cox Enterprise's existing $1.1 billion revolver and Cox Communications' $1.25 billion revolver. The $1.1 billion line is led by J.P. Morgan and Wachovia Securities with Citigroup, SunTrust Bank, The Royal Bank of Scotland and Banc of America Securities playing a role. The $1.25 billion revolver is led by Citigroup, SunTrust, B of A, Wachovia and J.P. Morgan.

Standard & Poor's has placed Cox Enterprises' BBB corporate credit rating on watch. If the transaction goes through as planned the senior unsecured debt would be downgraded to BBB- or BB+, the agency adds, with leverage increasing from three to five times.

  • 06 Aug 2004

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Share % by Volume
1 Citi 10.72
2 Bank of America Merrill Lynch (BAML) 10.66
3 Credit Suisse 6.45
4 Lloyds Bank 6.42
5 JP Morgan 6.35

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 16 Jan 2017
1 SG Corporate & Investment Banking 1,260.06 2 126,006,164,037.19%
2 Rabobank 1,081.86 1 108,185,922,974.77%
3 Wells Fargo Securities 430.57 1 43,057,020,785.00%
4 SK Securities 192.86 1 19,286,162,593.99%
4 Meritz Financial Group Inc 192.86 1 19,286,162,593.99%