Last week, Caldic priced its €990m-equivalent TLB financing in connection with Advent’s buyout of the Dutch chemical distributor. While investors were successful in getting a number of documentary changes made – tightening the margin ratchet, ticking fee, MFN, EBITDA addbacks and other provisions – there was one particularly aggressive point that did not get removed. 

Investors were unable to curb the inclusion of a “voting cap” provision, which caps individual lenders’ (together with their affiliates and related funds) voting rights at 15% of total commitments, unless the company elects otherwise, as described in our loan preview. Clients can access our loan preview here. If you are not a client but would like a copy, please complete your details here.