Credit Suisse First Boston and Lehman Brothers launched syndication of a $200 million refinancing for Mobile Storage Group last Friday. The loan, which consists of a $60 million, five-year revolver and a $140 million, seven-year "B" tranche is priced at LIBOR plus 21/ 2% and LIBOR plus 3%, respectively. There is also a 50 basis points commitment fee on the revolver. CSFB is the administration agent and Lehman is the syndication agent on the loan. Union Bank of California is the documentation agent. Expected ratings on the debt are Ba3/BB. Calls to company and bank officials were not returned.
Separately, CSFB and FleetBoston Financial last week launched syndication of Reebok's $300 million revolver. CSFB and Fleet are administration and syndication agents respectively. The three-year line carries a LIBOR plus 11/ 8% spread and there is a twenty five basis points utility fee. Progress on the refinancing could not be ascertained by press time