Feb. 7 (Bloomberg) -- Rocket Software Inc.’s $300 million term loan to fund a dividend to Court Square Capital Partners rose in initial trading, according to data provider Markit Group Ltd.
The six-year debt first exchanged hands at 99.88 cents on the dollar, according to Markit. The financing for the developer of business software was sold to investors at 98 cents on the dollar, according to data compiled by Bloomberg.
Credit Suisse Group AG arranged the financing for the Newton, Massachusetts-based company, the data show. The loan pays interest at 5.5 percentage points more than the London interbank offered rate, with a 1.5 percent floor on the benchmark.
Court Square, a New York-based private-equity firm, acquired Rocket Software for an undisclosed amount in September 2009, according to data compiled by Bloomberg.
In a revolving credit facility, money can be borrowed again once it’s repaid; in a term loan, it can’t.
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