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Reckitt Benckiser closes $21.2 billion Mead Johnson acquisition loans

Staff Writer |
Reckitt Benckiser has closed syndication of $21.2bn-eqivalent of loans supporting its $17.9 billion acquisition of US baby formula maker Mead Johnson Nutrition.

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The loans were fully committed on a certain funds basis ahead of the announcement of the acquisition by Bank of America Merrill Lynch, Deutsche Bank and HSBC as underwriters, bookrunners and mandated lead arrangers.

The financing comprises $20bn of bridge loans and term loans and a £1bn($1.22bn) revolving credit facility.

The bridge loans comprise a $8bn one-year facility to cover the cash consideration and a $3bn one-year facility to refinance existing Mead Johnson bonds if required.

The term loans are split between a $4.5bn three-year term loan and a $4.5bn five-year term loan.


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