Gaylord Entertainment's $225 million credit was fully committed and scheduled for allocation last Friday. A banker familiar with the deal said it includes a three-year, $150 million "B" loan and a $25 million revolver priced at LIBOR plus 31/2%, as well as a $50 million mezzanine tranche with a spread of 8% over LIBOR.
Proceeds from the Deutsche Bank, Bank of America and CIBC World Markets-led credit will be used to pay off the company's existing $60 million term loan and to complete the construction of resort and convention center Gaylord Opryland Texas. The existing loan is priced at LIBOR plus 33/8%. Deutsche Bank, B of A and CIBC officials declined to comment.
Gaylord is a hospitality, entertainment, broadcasting and music publishing conglomerate based in Nashville, Tenn. It operates properties including Gaylord Opryland Resort & Convention Center and the Radisson Opryland Hotel. The company also owns the Grand Ole Opry theater and brand, as well as radio stations and other golf and showboat properties. In 2000, the company acquired Corporate Magic, a company that provides entertainment at business events. David Kloeppel, Gaylord's executive v.p. and cfo, did not return calls for comment.