Heineken Arranges $3 Billion Loan to Refinance, Fund Possible Acquisitions
Heineken NV (HEIA), the world’s third-largest brewer, said it got a new 2 billion-euro ($3 billion) credit line to refinance debt and back acquisitions.
The self-arranged five-year revolving credit, which includes two one-year extension options, replaces an existing facility of the same size that was due to expire next year, the Amsterdam-based company said today in a statement. Money in a revolving credit can be borrowed again once it’s been repaid.
Seventeen banks participated in the so-called club deal, which will be used for “general corporate purposes, including acquisitions,” according to the statement.
Heineken agreed to pay 42.5 basis points over the euro interbank offered rate on money it draws from the facility, according to data compiled by Bloomberg. A basis point is 0.01 percentage point.
Heineken, the maker of Amstel beer and Newcastle Brown Ale, signed the previous credit line in 2003 with Barclays Capital, Citigroup Inc., Credit Suisse Group AG and JPMorgan Chase & Co. as bookrunners, Bloomberg data show.
To contact the reporter on this story: Stephen Morris in London at smorris39@bloomberg.net.
To contact the editor responsible for this story: Faris Khan at fkhan33@bloomberg.net.
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