| NEW YORK, Sept 10
NEW YORK, Sept 10 Computer maker Dell Inc
is launching a $5.5 billion loan to back the company's
$24 billion buyout by founder Michael Dell and private equity
firm Silver Lake Partners, sources told Thomson Reuters LPC.
A lender meeting is set for 1:30 p.m. EST September 11 in
New York City.
Bank of America Merrill Lynch, RBC, Barclays, Credit Suisse,
and UBS are lead arrangers on the loan financing.
The new deal will include a $1.5 billion, five-year Term
Loan C and a $4 billion, 6.5-year Term Loan B. The term loans
are expected to be covenant-lite.
The TLB will amortize at 1 percent annually. Ratings are to
On August 2, a special committee of the Dell board announced
a revised definitive merger agreement that increased the
aggregate value to unaffiliated shareholders by at least $350
million, by increasing the purchase price by $0.10 to $13.75 per
share and providing certain dividend payouts.
A vote on the buyout, held under the revised standard, has
been scheduled for Sept. 12.