Dec. 12 (Bloomberg) -- More than six banks joined an up to $260 million loan backing Morgan Stanley Private Equity Asia’s purchase of a majority stake in China’s HCP Packaging Co., according to a person familiar with the matter.
The financing package was originally to include a $30 million revolving credit facility. That revolving credit portion has been reduced to about $10 million, the person said today, asking not to be identified as the details are private.
The commitments received total more than the amount sought, however the five-year loan is unlikely to be increased, the person said. UBS AG is the financial adviser on the acquisition.
Morgan Stanley Private Equity Asia is in talks about investing in HCP in a deal that may value the company at about $500 million including debt, two people familiar with the matter said last month. HCP, a manufacturer of packaging for cosmetics, was founded in Taiwan in 1960 by the company’s Chairman, Shen Fang Chen, according to its website.
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