Feb. 3 (Bloomberg) -- Apax Partners LLP will cut the amount of leveraged loans it will raise for the buyout of France Telecom SA’s Orange Switzerland mobile-phone unit by about 33 percent to 567 million Swiss francs ($620 million) after increasing the bond portion of the financing.
The seven-year term-loan B targeting non-bank lenders will be cut to 242 million francs from 400 million francs and the six-year facility for capital expenditure will be canceled, according to two people with knowledge of the transaction. The six-year 225 million franc term-loan A and revolving credit are unchanged, said the people, who declined to be identified because the deal is private.
Apax is adding floating-rate notes amounting to 150 million euros ($198 million) and boosting an issue of senior secured bonds by 30 percent to 425 million francs as part of the buyout financing, the people said.
Citigroup Inc., Credit Suisse Group AG, Deutsche Bank AG, JPMorgan Chase & Co., Morgan Stanley and UBS AG are arranging the 1.4 billion-franc loan and bond financing, according to data compiled by Bloomberg.
Apax agreed to buy Orange Switzerland for 1.6 billion euros, France Telecom said in a statement Dec. 23.
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