Securitization People and Markets

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

Credit Suisse First Boston, J.P. Morgan and Bank of America are scheduled to launch retail syndication of Zimmer Holdings' $1.75 billion credit this Wednesday. The deal backs the orthopedic product company's approximately $3.22 billion acquisition bid for Centerpulse. The credit went out to managing agents three weeks ago, a banker familiar with the deal said, adding that there has been a positive response so far at this level. He did not cite commitment levels or any new lenders that have joined the facility.

Bank of America pitched a $325 million credit last week for the second largest North American funeral home and cemetery operator, Alderwoods Group. The credit includes a five-year, $275 million "B" loan priced in the LIBOR plus 31/2-33/4% range and a five-year, $50 million revolver, according to Kenneth Sloan, executive v.p. and cfo. Sloan said B of A received positive verbal commitments to the deal both before and coming out of the July 30 meeting. Proceeds from the deal will be used to repay existing debt for Alderwoods and Rose Hills--the Cincinnati-based company's largest subsidiary.

Scotia Capital and Credit Suisse First Boston were wrapping up a refinancing credit for Weight Watchers International (WWI) late last week, with more than $1 billion in tickets committed to the term loan. A banker familiar with the deal explained that the loan could be for a maximum of $463 million, depending on how much of the Woodbury, N.Y.-based weight loss company's bonds are tendered. CSFB and Merrill Lynch are dealer managers and solicitation agents for WWI's current cash tender offer and consent solicitation for all of its $150 million outstanding principal amount of 13% senior subordinated notes due 2009 and all of its E100 million outstanding principal amount of 13% senior subordinated notes, also due 2009. The six-and-a-half-year loan is priced at LIBOR plus 21/4%, the banker added.

Bank of America had to sweeten a $400 million "B" loan for Pegasus Media & Communications last week, with market players citing Pegasus' litigation issues with DIRECTV and satellite network rights as concerns. One investor said more accounts moved in to fill out the deal late last week. Officials from B of A declined to comment or confirm subscription levels. Joe Pooler, Pegasus' v.p. of finance and controller, also declined to comment.