(Updates with commitment deadline in sixth paragraph)
Oct. 12 (Bloomberg) -- Triple Point Technology Inc., a provider of commodities and enterprise risk software, changed the structure of the financing to back its buyout by Welsh, Carson, Anderson & Stowe, according to a person with knowledge of the transaction.
A $185 million term loan was reduced to $165 million and a $50 million delay-draw term loan was eliminated, said the person, who declined to be identified because the terms are private.
The term piece will now pay 6.5 percentage points more than the London interbank offered rate compared with 6 percentage points initially offered, the person said. Libor, a rate banks charge to lend to each other, will have a 1.5 percent floor.
The debt is being sold at 96 cents on the dollar, compared with 97 cents initially proposed, the person said, reducing proceeds for the company and boosting the yield to investors.
The Westport, Connecticut-based company is also seeking a $20 million revolving line of credit due in five years, according to data compiled by Bloomberg.
Credit Suisse Group AG is arranging the deal and lenders must submit commitments by Oct. 13 at 5 p.m. in New York.
K. Oni Chukwu, chief financial officer of Triple Point, didn’t respond to an e-mail seeking comment.
In a revolving credit facility, money can be borrowed again once it’s repaid; in a term loan, it can’t.
--Editors: Faris Khan, Pierre Paulden
To contact the reporter on this story: Michael Amato in New York at firstname.lastname@example.org
To contact the editor responsible for this story: Faris Khan at email@example.com