Nov. 28 (Bloomberg) -- ConAgra Foods Inc., a maker of packaged foods, obtained $6 billion of financing commitments to help pay for its purchase of Ralcorp Holdings Inc.
Bank of America Corp. has committed $4.5 billion in bridge financing and a $1.5 billion senior unsecured term loan, according to a regulatory filing today.
ConAgra, based in Omaha, Nebraska, has agreed to buy Ralcorp for $5 billion. The deal is valued at about $6.8 billion, including debt, the companies said yesterday in a joint statement distributed by Business Wire.
ConAgra said in the regulatory filing that it may issue other long-term debt or equity, or combination of both, to reduce borrowings under the bridge by the time the merger is completed.
Bridge loans usually mature in one year and are often used as backstops to bond offerings or longer-dated bank debt.
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