Deutsche Bank launched syndication of a $180 million credit facility for Coleman Natural Foods last Thursday. The deal consists of a $45 million asset-based loan, a $100 million first lien and a $35 million second lien, according to a banker. Pricing is being talked around LIBOR plus 3% for the first lien and LIBOR plus 7% on the second lien.
The loan is being used to finance the merger of BC Natural Foods and KDSB Holdings to create the new entity Coleman Natural Foods, according to a banker. BC Natural Foods is owned by Atlanta-based Booth Creek Management.
Golden, Colo.-based Coleman is a meat and poultry provider and marketer of animal raised products, fed and produced without using antibiotics, hormones or artificial ingredients. Calls to a Coleman spokesman were referred to a BC spokesman who did not return calls by press time. A representative from both KDSB and Booth Creek could not be reached.