10 Jan 2022 08:22
10 January 2022
Micro Focus International plc
Proposed term loan refinancing
Micro Focus International plc ("Micro Focus" or the "Company") today announces the launch of a $1.6bn-equivalent Senior Secured Term Loan B refinancing (the "Transaction").
The proceeds of the offering will be used to refinance a portion of its existing Senior Secured Term Loan B facilities due June 2024 and pay fees and expenses in connection with the Transaction. Upon completion, the Transaction will replace the existing Senior Secured Term Loan B Euro facility due June 2024 as well as partially refinance the existing Senior Secured Term Loan B USD facility due June 2024 with new 5-year Senior Secured Term Loan B facilities.
The Company will raise a combination of Euro and US dollar dominated Term Loans with a minimum intended tranche size of €442m in Euros and $1,100m in US dollars. The initial price talk for the new facilities is anticipated to be between 4.00%-4.25% above EURIBOR (subject to a 0% floor) at an original issue discount of 0.5% on the Euro denominated tranche, and between 3.75%-4.00% above SOFR and CSA (subject to a 0.5% floor) at an original issue discount of 1.0% on the US Dollar denominated tranche.
An update will follow in due course.
Enquiries:
Micro Focus Tel: +44 (0)1635 32646
Stephen Murdoch, CEO Investors@microfocus.com
Matt Ashley, CFO
Ben Donnelly, Investor relations
Brunswick Tel: +44 (0) 20 7404 5959
Sarah West MicroFocus@brunswickgroup.com
Jonathan Glass
Notes to Editors:
About Micro Focus
Micro Focus (LSE: MCRO.L, NYSE: MFGP) is a global enterprise software company supporting the technology needs and challenges of the Global 2000. Our solutions help organizations leverage existing IT investments, enterprise applications and emerging technologies to address complex, rapidly evolving business requirements while protecting corporate information at all times. Our product portfolios are Security, IT Operations Management, Application Delivery Management, Information Management & Governance and Application Modernization & Connectivity. For more information, visit: www.microfocus.com