Worldspan Technologies filed a shelf registration last week indicating that the company would refinance its existing credit facility alongside an initial public offering. Previously, the bank debt traded up as high as the 101 level. But with no call protection, the paper is going to be taken out at par. The new bank deal is expected to include a $50 million senior revolver and a $185 million senior term loan.
Lehman Brothers and Deutsche Bank were the leads on Worldspan's existing bank deal, but it could not be determined if the firms would be leading the company's refinancing as well. Calls to officials at Lehman and Deutsche Bank were not returned by press time. Lehman, J.P. Morgan, Goldman Sachs, UBS, CIBC World Markets, and RBC Capital Markets are joint book running managers for the IPO.
Worldspan completed a new credit facility last summer to back the company's acquisition by a consortium of private equity sponsors under the name Travel Transaction Processing Corp. The loan originally included a $50 million revolver and a $125 million "B" loan.
Travel Transaction was formed by Teachers' Merchant Bank and Citigroup Venture Capital Equity Partners. Calls to Michael Wood, Worldspan's senior v.p. and cfo, were not returned by press time.