BNP Paribas,UBS and Credit Suisse First Boston launched syndication of a $640 million credit for Knowledge Learning Corp. last week with the deal quickly oversubscribed. After one day $350 million was in the book for the $540 million "B" loan, a banker noted. The credit backs Knowledge Learning's merger with KinderCare Learning Centers. The $540 million "B" loan went out at LIBOR plus 3% and a $100 million revolver is being offered at LIBOR plus 2 1/2%.
Knowledge Learning is a subsidiary of Michael Milken and Larry Ellison's Knowledge Universe. Kohlberg Kravis Roberts & Co. and Oaktree Capital Management currently own more than 90% of KinderCare. Mark Fuller, Knowledge Learning's cfo, and Dan Jackson, KinderCare's cfo, did not return calls. Officials from the three lead banks declined comment.