Bank of America and Morgan Stanley launched syndication last week of a $505 million credit for Advanced Medical Optics. The loan finances the $184 million cash portion of the $1.4 billion acquisition of laser vision correction system maker VISX. The credit comprises a $200 million revolver and $305 million "B" loan. Both tranches are being offered at LIBOR plus 2%, a banker said.
Advanced Medical Optics makes ophthalmic surgical devices and eye care products. VISX does not currently have any long-term debt, a company spokeswoman noted. She referred additional questions to Advanced Medical Optics officials, who did not respond to questions. Officials from the lead banks either did not return calls or declined comment.