Fee details out on Verizon's $12 billion bank loan
Retail fee details are out on Verizon Communications Inc's $12 billion in term loans, sources said.
The loans consist of a $6 billion, three-year term loan and a $6 billion, five-year term loan. The loans launched at a bank meeting this morning.
The company is offering 35bp upfront for commitments of $125 million or greater, and 30bp for commitments under $125 million, according to sources. The minimum commitment is $25 million.
As previously reported, pricing on the three-year term loan and five-year term loan is LIB+137.5 and LIB+150, respectively.
Before the bank meeting today, alongside the term loans the company also was syndicating a $2 billon, 364-day revolver and a $49 billion bridge to bonds at a co-arranger level.
Drawn pricing on the bridge loan is LIB+150. The revolver pays 10bp on undrawn amounts. Drawn pricing on the facility is LIB+125.
The loans are part of the $130 billion financing acquisition of the 45 percent stake in Verizon Wireless that it does not already own from Vodafone Group Plc. The financing package launched to top relationship banks last week.
JP Morgan, Morgan Stanley, Barclays and Bank of America Merrill Lynch are joint lead arrangers and joint bookrunners on the financing, which was underwritten equally among the four banks. JP Morgan and Morgan Stanley are global coordinators of the financing. JP Morgan is the administrative agent.
(Editing By Jon Methven)