Cap Gemini Said to Seek 500 Million-Euro Loan to Refinance Debt
Cap Gemini SA, Europe’s largest computer-services company, is seeking a 500 million-euro ($666 million) credit line to refinance an existing loan, according to two people familiar with the situation.
Banco Santander SA, BNP Paribas SA, Credit Agricole SA, HSBC Holdings Plc, ING Groep NV, Natixis and Societe Generale SA are arranging the five-year revolving credit, which will replace a deal of the same size maturing next year, said one of the people, who declined to be identified because the transaction is private. Money in a revolving credit can be borrowed again once it’s been repaid.
Christel Lerouge, a spokeswoman for the Paris-based company, wasn’t immediately available for comment.
Cap Gemini agreed to pay initial interest at 50 basis points more than the euro interbank offered rate on funds drawn from its credit line arranged in 2005, according to data compiled by Bloomberg. A basis point is 0.01 percentage point.
The company is rated BBB- by Standard & Poor’s.
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