A $150 million five-year term loan for Investcorp is in general syndication until 12 April, The loan, for general financing purposes, has become an annual feature of Investcorp’s operations. This year’s loan is smaller and longer term than previously. Investcorp’s loans in the 1990s have been for three-year periods, and worth $250 million-330 million.
The book runners for the facility are Bankers Trust and Chemical Bank, which head a team of 13 international underwriters. They are: Bank of Tokyo; National Westminster Bank; Societe Generale; Westdeutsche Landesbank Girozentrale (West LB); Al Bank Al Saudi Al Fransi; the Riyadh-based Arab Investment Company; Bank of Scotland; Chase Investment Bank; Deutsche Bank; Dresdner Bank; and Lloyds Bank.
The loan is priced at 7/8 of a per cent over the London interbank offered rate (Libor). The fees on the deal are 75 basis points flat for lead managers, taking more than $7.5 million; 62.5 basis points for managers taking between $5 million-7.5 million, and 50 basis points for co-managers taking between $3 million-4.9 million, Investcorp says.