By Michelle Sierra
NEW YORK Oct 17 U.S. contractor CACI
International is launching October 22 a $1.681 billion
credit facility that will back the company's acquisition of Six3
Systems Inc and refinance existing debt, sources told Thomson
Bank of America Merrill Lynch is leading the deal. JP
Morgan, SunTrust Bank, Citizens Bank and Wells Fargo are also
The facilities comprise a $750 million, five-year revolver,
a $631 million, five-year term loan A and a $300 million,
seven-year term loan B.
The revolver includes $25 million and $50 million sublimits
for letter of credit and swingline borrowings, respectively. The
facility can be increased by an additional $400 million.
Drawn pricing on the revolver and term loan A opens at
LIB+200 based on the company's consolidated leverage ratio. If
the revolver remains undrawn it pays 35bp. Upon changes to the
company's consolidated leverage ratio, drawn pricing can range
from LIB+125 to LIB+250. The commitment fee on the revolver
ranges between 20bp and 40bp.
The term loan B pays LIB+275.
CACI said on October 9 it was planning to back the $820
million acquisition of the national security intelligence
provider through the new $800 million financing commitment from
BAML, and borrowings under its existing revolving credit
CACI is purchasing Six3 Systems from private equity firm
GTCR. The transaction is expected to close in CACI's fiscal
second quarter ending December 2013.
According to LPC data, CACI entered in August $881.25
million in credit facilities. The financing included a $600
million revolver and a $131.25 million term loan A. Drawn
pricing is LIB+150. The revolver pays a 25bp if it remains
Six3 Systems specializes in human intelligence gathering and
security services and technologies for biometrics and
identification that back these activities. The company was
founded in 2009 via a partnership with GTCR Golden Rauner, LLC
and Six3 Systems CEO Robert Coleman. It is headquartered in
CACI provides information solutions and services on national
security missions for the U.S. government.