Bear, Merrill Hit Jackpot On Gaming Credit

  • 11 Aug 2002
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Bear Stearns and Merrill Lynch have landed the lead roles on an $800 million bank debt financing backing Penn National Gaming's acquisition of Hollywood Casino. The choice of Merrill and Bear is seen as a major coup for the banks as they edged out Lehman Brothers, which acted as the adviser to Penn. "Merrill and Bear laid a better mousetrap than Lehman," one banker said, noting that the duo has prior investment banking relationships with Penn. Bankers at all three firms declined to comment.

The credit is likely to include a large institutional piece--rumored to be $600 million--with the remainder structured as a $100 million revolver and a $100 million "A" term loan. The facility is likely to be syndicated in the fall, with the merger requiring regulatory and shareholder approval, according to bankers familiar with the deal. Calls to William Clifford, cfo of Penn, were not returned.

  • 11 Aug 2002

GlobalCapital European securitization league table

Rank Lead Manager/Arranger Total Volume $m No. of Deals Share % by Volume
1 BNP Paribas 10,542 20 17.55
2 Bank of America Merrill Lynch (BAML) 6,103 21 10.16
3 Citi 5,130 13 8.54
4 JP Morgan 4,681 6 7.79
5 Morgan Stanley 4,137 11 6.89

Bookrunners of Global Structured Finance

Rank Lead Manager Amount $m No of issues Share %
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1 Citi 81,261.11 236 11.54%
2 Bank of America Merrill Lynch 66,433.81 187 9.43%
3 Wells Fargo Securities 57,637.40 170 8.18%
4 JPMorgan 53,570.42 158 7.61%
5 Credit Suisse 45,349.30 117 6.44%