Bedford, Mass.-based filtration and purification technology provider Millipore is talking with its lead banks, FleetBoston Financial and ABN AMRO, about refinancing its current $175 million revolving credit agreement. Janet Frick, assistant treasurer for Millipore, said the loan matures in January and this is the primary reason for arranging a new revolver. She declined to comment on whether the same banks would lead the facility, but she said a new loan would be syndicated rather than just rolled over with existing banks.
The BioScience market is dynamic and following the separation of the microelectronics division of Millipore, Moody's Investors Service has upgraded the company's bank debt rating from Ba2 to Ba1, said Frick. Millipore is definitely looking to get improved conditions, she added, but declined to say whether this would be through pricing or covenants.
The existing revolver was originally $450 million, Frick noted, reduced to $250 million and then $175 million recently. Millipore is not looking to upsize it again, she said. The company spun off its microelectronics division through an IPO this month to create Mykrolis. The two businesses diverged in terms of customers and the two industries were very different, she said. Millipore provides filtering systems that use separation technology to analyze, identify, and purify fluids and gases.