Apollo pays premium for Presidio

摘要

The US$650m financing backing Apollo Global Management's buyout of information technology services provider presidio is facing pushback from loan investors wary of an unpopular sponsor, the deal's high leverage and issues related to the credit itself. To entice investors wary of Presidio's lack of hard assets, high leverage and on-line business model, lead arranger Credit Suisse has made some adjustments to the deal, which was launched in early January and comprises a US$600m seven-year term loan and a US$50m revolver. A notes issuance of US$400m also supports the US$1.3bn acquisition.