Trlpc foncia seeks 270 mln in extra loans for acquisitions

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Feb 26 French real estate services firm Foncia is seeking 270 million euros ($302.75 million) of extra loans to back Bridgepoint and Eurazeo's acquisition of a remaining stake in the business they do not already own, banking sources said on Thursday. Bridgepoint and Eurazeo acquired Foncia in 2011, investing about 480 million euros in equity capital, while vendor BPCE invested 200 million euros in the business. The buyout was backed with a 485 million euro loan, according to Thomson Reuters LPC data.

The two sponsors are now looking to raise the extra debt to acquire BPCE's stake and also finance future acquisitions, the sources said. Credit Agricole and Natixis are leading the financing which also includes a waiver and amendment request from existing lenders to authorise the new facilities and to extend maturities of the existing tranches.

The new facilities comprise a 190 million euro term loan D, guided to pay 450bp and an 80 million euro capital expenditure facility, guided to pay 425bp. Pricing of the TLD matches initial pricing of a 300 million euro, seven-year TLB raised by Foncia in 2011 to back its buyout.

Foncia has grown Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) to 103 million euros in 2013 from 87.1 million euros in 2011. Foncia offers residential real estate services in France and Belgium and also has a presence in Germany and Switzerland. ($1 = 0.8918 euros)