Georgia-Pacific/Koch Deal Hits Market

The $21 billion credit backing the acquisition of Georgia-Pacific Corp. by Koch hit the market last Tuesday.

  • 13 Jan 2006
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The $21 billion credit backing the acquisition of Georgia-Pacific Corp. by Koch hit the market last Tuesday. The underwriter of the $11 billion in loans is Citigroup. JPMorgan and Deutsche Bank are the joint bookrunners on the deal (CIN 1/9). The financing consists of a five-year, $1.5 billion revolver; a five-year, $2 billion "A" term loan; a seven-year, $5 billion "B" term loan and an eight-year, $2.5 billion second-lien loan. Koch is acquiring Georgia-Pacific for a total of $21.2 billion, which includes cash and the assumption of assumed or refinanced debt.

Pricing on the revolver, term loan "A" and term loan "B" is set at LIBOR plus 2 1/4%. The second-lien loan is priced at LIBOR plus 3 1/2%. The deal is set to close around the end of January.

Headquartered in Atlanta, Georgia-Pacific is one of the world's leading manufacturers and distributors of tissue, pulp, paper, packaging, building products and related chemicals. They employ over 55,000 workers in 300 facilities throughout the U.S., Canada and 11 other countries. Calls to Georgia Pacific and Koch were not returned. A Citigroup spokesman was unavailable for comment. JPMorgan and Deutsche Bank spokesmen declined comment.

  • 13 Jan 2006

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 BNP Paribas 15,084 31 17.18
2 Bank of America Merrill Lynch (BAML) 9,637 29 10.97
3 Citi 8,093 21 9.22
4 Lloyds Bank 7,329 24 8.35
5 JP Morgan 6,580 10 7.49

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
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1 Citi 129,591.43 378 11.20%
2 Bank of America Merrill Lynch 103,557.15 301 8.95%
3 JPMorgan 101,741.96 296 8.79%
4 Wells Fargo Securities 91,373.90 263 7.90%
5 Credit Suisse 76,186.18 204 6.58%