JPMorgan Partners portfolio company Doane Pet Care Co. is refinancing its credit facility through Credit Suisse First Boston. The company currently has a $215 million facility and part of that credit matures at the end of next year. “Basically we’re extending maturity on that and at the same time this will hopefully get us a little lower debt costs than what our existing facility has,” explained C. Edward Triplett, Doane’s corporate treasurer. The existing credit is priced at LIBOR plus 5 1/4%, but the spread goes up to LIBOR plus 6 1/4% in March.
The new credit comprises a $35 million revolver and $195 million “B” loan. It matures in five years and went out to investors at LIBOR plus 4 1/2%. There is also a fifty basis points commitment fee on the revolver. The previous credit was led by J.P. Morgan. Triplett declined to comment on why the company changed leads and if J.P. Morgan will be involved this time around.