B&G Foods closed a $450 million tranche B term loan facility under its existing senior secured credit facility.
As previously announced, the tranche B term loans will bear interest at a rate of LIBOR plus 2.50%, with a 0.0% LIBOR floor, and have a seven-year maturity.
B&G Foods used the proceeds of the new term loans, together with the net proceeds of B&G Foods’ recently completed offering of $550 million of 5.25% senior notes due 2027, to redeem all $700 million of B&G Foods’ 4.625% senior notes due 2021, repay a portion of B&G Foods’ borrowings under its revolving credit facility and pay related fees and expenses. B&G Foods expects to use the remaining proceeds for general corporate purposes.
Barclays, Deutsche Bank Securities, RBC Capital Markets, Bank of America Securities, BMO Capital Markets, Goldman Sachs Bank USA and J.P. Morgan acted as joint lead arrangers and bookrunners. Credit Suisse, Capital One, Citigroup, Citizens Bank, Rabobank and TD Securities acted as joint co-documentation agents.
Based in Parsippany, NJ, B&G Foods and its subsidiaries manufacture, sell and distribute high-quality, branded shelf-stable and frozen foods across the U.S., Canada and Puerto Rico. B&G Food brands include Back to Nature, B&G, B&M, Cream of Wheat, Green Giant, and Victoria.