Daily News: July 17, 2013

Merrill Lynch, Others Agent Alliance Data Credit Facility


Alliance Data Systems announced that the company completed a new $2.285 billion credit facility. The new facility consists of a $1.142.5 billion term loan and a $1.142.5 billion revolving credit facility.

Lead agents on the bank facility were Merrill Lynch, Pierce, Fenner & Smith, Wells Fargo Securities, SunTrust Robinson Humphrey, J.P. Morgan Securities, Fifth Third Bank and RBC Capital Markets.

In addition, the facility includes an uncommitted accordion feature of up to $500 million (or, in certain circumstances, up to $615 million) in the aggregate allowing for future incremental borrowings, subject to certain conditions.

The proceeds will be used to finance general corporate and working capital needs, including the refinancing of existing indebtedness and the financing of acquisitions and other growth initiatives. The interest rate on the term loan is variable with a slight improvement in rate from previous deals. The facility matures July 2018.

Alliance Data is a provider of transaction-based, data-driven marketing and loyalty solutions serving large, consumer-based industries.