Intersnack Group said it hired banks for debt financing to back its acquisition of KP Snacks.
Commerzbank AG, HSBC Holdings Plc, and UniCredit SpA (UCG) underwrote the loans to Intersnack, which will remain an investment-grade company, according to a statement today.
Dusseldorf-based Intersnack said it agreed to buy KP Snacks, spun off this year from United Biscuits by owners Blackstone Group LP (BX:US) and PAI Partners for an undisclosed amount, to create a group with more than 1.7 billion pounds ($2.74 billion) of net sales.
Intersnack will buy the unit for more than 400 million pounds, three people familiar with the discussions said yesterday.
KP Snacks, the maker of Hula Hoops and KP Nuts, has annual sales of 280 million pounds, according to the joint statement.
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