APOLLO OFFERS HIGH-YIELD BOND FOR IMC SALT PURCHASE... JILTED BUYER SUES IMC.(Brief Article)

Chemical Week, November, 2001 by Wood, Andrew

Apollo Management says it plans a $200-million high-yield debt offering to partly fund its $628-million acquisition of IMC's salt and related assets at Ogden, UT, which it will rename Compass Minerals (CW, Oct. 24, p. 15). Credit Suisse First Boston, JPMorgan, and Deutsche Banc Alex Brown are arranging the senior subordinated notes, due 2011; terms have not been disclosed, and the debt has not yet been rated. The offering will be a key test of investors' appetite for high-yield debt, a market that has been largely dormant since September 11.

The purchase of Compass is being financed by $155 million in private equity capital from Apollo, a $275-million term loan, and the high-yield offering. Apollo will hold 80% of Compass and IMC Global 20%. The transaction is...

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