Bear Stearns and Credit Suisse First Boston are leading $455 million in bank debt for DoubleClick, including an eight-year, $115 million second-lien loan. The loan is being pitched at LIBOR plus 7 3/4% to 8%. The credit also includes a five-year, $50 million revolver and a seven-year, $290 million first lien. Pricing on the revolver and first-lien tranche is LIBOR plus 3 3/4% to 4%.
DoubleClick, which provides on-line advertising infrastructure to retailers, is being bought by a group of investors including Hellman & Friedman and JMI Equity Fund for $1.1 billion. The sponsors are putting in $342 million of equity.
Moody's Investors Service assigned a B2 rating to the first lien and a Caa1 rating to the second lien. Moody's is taking into account the moderately high EBITDA leverage of about 5.4 times pro forma for the planned financing, assuming only $10 million of the revolver is drawn and the modest scale of the company -- total revenue for the last 12 months was about $304 million.
Bruce Dalziel, DoubleClick's cfo, did not return a call. Paul Barber, a general partner at JMI, referred calls to Andy Ballard, a director at Hellman & Friedman, who could not be reached.