Bank of America is leading a $275 million refinancing deal for BumbleBee Seafoods. The credit, which was scheduled to launch last Friday, comprises a five-year, $75 million revolver and a five-year, $200 million term loan. Pricing on the revolver is LIBOR plus 1 1/2%, while the term loan is priced at LIBOR plus 1 3/4%.
The credit will take out an existing $190 million B of A-led deal. Originated in February 2005, that financing backed BumbleBee's acquisition of Castleberry/Snow's Brands and the meat products business of Sara Lee. One investor noted that the company's business model has looked solid. "They haven't had any major problems to speak of and they got good pricing on [this] deal. The fact that they are a well-known brand with good name recognition and a fairly long history doesn't hurt either," he noted.
The San Diego-based company operates under the BumbleBee, Coral, Libby's, Orleans and King Oscar seafood brands. A spokesman at BumbleBee declined to comment as did bankers at B of A.