RLPC-Sonepar increases loan to 1.6 billion euros

LONDON, Feb 20 (Reuters) - French electrical equipment supplier Sonepar has increased the size of the loan backing its purchase of assets from Dutch electrical parts group Hagemeyer HAGN.AS, banking sources said on Wednesday.

The loan was increased to 1.6 billion euros from 1.4 billion euros after closing oversubscribed, and will be signed on Friday, the sources said.

The loan was fully underwritten by mandated lead arrangers and bookrunners ABN AMRO, BNP Paribas and Societe Generale.

Prior to the increase, the credit consisted of a 1.1 billion euro amortising term loan that matures in July 2012 and a 300 million euro, multicurrency revolving credit that matures in July 2013.

Sonepar and French peer Rexel (RXL.PA) entered into an agreement under which Rexel launched a public takeover for Hagemeyer in November 2007.

Rexel agreed to transfer parts of Hagemeyer to Sonepar subject to successful takeover bid and regulatory clearance. These included its ACE division, located in the U.S., Canada, Mexico, Australia, Switzerland, Austria, Sweden, China and South East Asia.

In addition, Rexel agreed to sell all of its current assets and activities in Germany to Sonepar as part of an asset swap under which Sonepar also sold its current assets and activities in Sweden to Rexel.

Rexel's bid for Hagemeyer is backed by a 5.4 billion euro debt package that was launched on Wednesday by arranging banks Calyon, CIC, HSBC, ING, Natixis and Royal Bank of Scotland.

Founded in 1969, Sonepar has turnover of 9.4 billion euros and operates in 29 countries. (Reporting by Zaida Espana; Editing by Paul Bolding)