Syndication is set to launch Thursday for the $250 million in bank debt backing Ionics' acquisition of Ecolochem. Price talk is LIBOR plus 23/4% on the $175 million term loan and LIBOR plus 21/4% on the $75 million revolver. Pricing will be done on a ratings-based grid, a banker said. A BB-/Ba3 rating is anticipated, he added. UBS, Bank of America and Fleet Securities are leading the financing. Ionics is purchasing Ecolochem for $200 million in cash and 4.91 million shares of Ionics' common stock, which is approximately $138 million (LMW, 11/24). Ionics is a developer and manufacturer of systems and services for water treatment.
Ecolochem Acquisition Credit Set To Launch