Catalent Pharma Solutions Inc., the Blackstone Group LP-controlled provider of development services to the pharmaceutical industry, is seeking to decrease the rate it pays on two term loans, according to a person with knowledge of the deal.
The company is seeking to decrease the rate on a term deal maturing in 2017 to 325 basis points more than the London interbank offered rate, with a 1 percent floor on the lending benchmark, said the person, who asked not to be identified because the terms are private.
Catalent is seeking to cut the rate on a loan due 2016 to 350 basis points more than Libor, with no floor on the benchmark, the person said.
Catalent is also seeking a $60 million add-on to a 2017 term loan that will pay a rate of 325 basis points more than Libor with a 1 percent floor to refinance a euro term loan that matures in 2014, the person said. Libor is the rate banks say they can borrow in dollars from each other.
Morgan Stanley, GE Capital Markets, the lending unit of General Electric Co., Deutsche Bank AG, Goldman Sachs Group Inc. and JPMorgan Chase & Co. are arranging the deal. The company is asking lenders to respond by 12 p.m. in New York Feb. 7, the person said.