Syndication is expected next month for the credit backing Jarden Corp.'s $745.6 million acquisition of American Household. The credit will comprise a revolver and term loan "B" and the whole facility will be just over $1 billion, according to Ian Ashken, Jarden's cfo. Pricing is expected to be LIBOR plus 2 1/4-1/2%, he added.
Jarden has tapped Citigroup and CIBC World Markets to lead the debt. Both banks are the leads on Jarden's existing credit. "CIBC have really financed Jarden for a long time and then we brought Citi into our last facilities because we wanted to start building a relationship with a larger institution," Ashken explained. "We think it's a good combination." Warburg Pincus is investing $350 million of equity into Jarden in connection with the acquisition.