Buysiders Gobble Up Weight Watchers, Banks Eye Spread

  • 11 Dec 2001
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Credit Suisse First Boston and Bank of Nova Scotia, riding a hefty oversubscription, are eyeing a price flex for the six-year, $172 million Weight Watchers International "B" term loan. A banker following the deal said, "I would not bet against a tightening of the spread by 1/4% or 1/2%." Buysiders gobbled up the credit that is already priced at a trim LIBOR plus 3%, with bankers citing the improved profile of the once highly leveraged company, following a successful initial public offering in November and repayment of bank debt via a bond issuance. The new "B" will refinance existing debt, priced at LIBOR plus 4% (LMW, 12/10).

The bank debt is rated BB-/Ba1. According to Standard & Poor's, high debt-levels are offset by the firms strong brand name and position. Favorable demographic factors such as increasingly sedentary lifestyles, an aging population and an increasing percentage of adults worldwide who are overweight or obese should help the growth in the weight-control industry, according to S&P.

  • 11 Dec 2001

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 Bank of America Merrill Lynch (BAML) 4,755 19 11.75
2 Citi 4,288 14 10.60
3 Rabobank 2,633 4 6.51
4 Goldman Sachs 2,615 4 6.46
5 Barclays 2,603 8 6.43

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • Today
1 Citi 83,931.01 244 12.94%
2 Bank of America Merrill Lynch 71,587.85 220 11.03%
3 Wells Fargo Securities 64,351.96 203 9.92%
4 JPMorgan 46,391.25 147 7.15%
5 Credit Suisse 37,323.31 115 5.75%