CORRECTED - RLPC-UPDATE 1-Carlyle Group obtains $800 mln acquisition loan
(Corrects dollar amount in first paragraph to $800 million)
(Adds background, details)
NEW YORK, May 30 (Reuters) - The Carlyle Group has obtained an $800 million bank loan commitment to help finance its purchase of a majority stake in the U.S. government business of management consulting technology firm Booz Allen Hamilton Inc., sources told Reuters Loan Pricing Corp on Friday.
The loan commitment was obtained from Bank of America, Lehman Brothers and Credit Suisse, the sources said. Carlyle Group will finance by itself nearly 49 percent of the $2.54 billion purchase or $1.2 billion.
The financing will also include $550 million in mezzanine debt and $158 million in deferred payment obligations.
The $800 million bank loan will consist of a $100 million revolving credit line, a $250 million term loan A tranche and a $450 million term loan B tranche.
The loan will be governed by financial covenants.
The $2.54 billion transaction is one of the few significant leveraged buyout deals to be announced since the credit crunch last summer. It is also the biggest deal for Carlyle since its $4.9 billion purchase of nursing home operator Manor Care last December.
Under the terms of the deal, McLean, Virginia-based Booz Allen said it will split in two, separating its U.S. government business from its global commercial businesses. The commercial business will be a stand-alone company. The deal is expected to close in mid- to late 2008. (Reporting by Faris Khan; editing by Dena Aubin)
