J.P. Morgan and Bear Stearns are in the market with a $300 million credit facility for Scientific Games Corp. The credit comprises a $200 million revolver and a $100 million "B" loan. Both mature in five years and are being offered at LIBOR plus 2%, bankers said. The company came to the market last in June to cut its term loan spread to LIBOR plus 2 1/2%, with a step down to LIBOR plus 2 1/4% (LMW, 6/28). Last week Standard & Poor's placed the company's ratings on watch with positive implications reflecting its continued solid operating performance.
The company is also tendering for its outstanding 12 1/2% senior subordianted notes due 2010 and is issuing $200 million of senior sub notes and $250 million of convertible senior subordinated debentures. A Scientific Games spokeswoman and officials from the lead banks declined comment.