DJO Finance LLC, a unit of Blackstone Group LP-owned orthopedic-device maker DJO Global Inc., received lender consent to extend $390 million of a term loan to November 2016 from May 2014, according to a person with knowledge of the transaction.
The extended portion will pay 5 percentage points more than the London interbank offered rate, said the person, who declined to be identified because the terms are private.
A $103 million non-extended piece due in May 2014 will continue to pay interest at 3 percentage points more than Libor, the person said.
DJO also obtained a new $350 million term loan to refinance debt, according to data compiled by Bloomberg. The debt pays interest at 5 percentage points more than Libor, with a 1 percent minimum on the benchmark. The loan was sold to investors at 98.5 cents on the dollar, the data show.
The new term loan, due in September 2017, was distributed to investors today and first changed hands at 99.25 cents, according to data provider Markit Group Ltd.
The financing, which was arranged for the Vista, California-based company by Credit Suisse Group AG, also includes a five-year $100 million revolving line of credit that will replace the company’s existing revolver due to mature in December 2013.
ReAble Therapeutics Inc., an orthopedic device maker owned by Blackstone, purchased DJO for $1.3 billion in 2007.
Peter Rose, a Blackstone spokesman in New York, declined to comment.
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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