imagedepotpro Brookfield Asset Management ( NYSE: BAM ) is in discussions with its banks to prepare roughly €9.5B ($10.6B) in debt to fund its previously announced take-private deal for Spanish plasma therapeutics company Grifols ( NASDAQ: GRFS ), Bloomberg reported Wednesday.
The Toronto-based real estate investment firm is seeking the funds to refinance Grifols’ ( GRFS ) existing debt, the people said, asking for anonymity given the confidential nature of the talks. One person said that most of the funding would likely be in dollars, while another added that a banking institution has agreed to backstop the total amount. The funding plans come amid a financing clause under which Grifols’ ( GRFS ) bondholders can demand the company pay them above par in case of a potential take-private deal.
Grifols ( GRFS ) shares rose ~5% in Madrid, while its 2028 bonds gained more than 6 cents to approach 94 cents on the euro after the report. It comes more than a month after the Barcelona-based firm announced that Brookfield and Grifols founding family agreed to take the company private, a transaction that would lead to a potential delisting. The plans, if finalized, will require a financing package comprising €8B in drawn debt and a revolving credit facility worth €1.
5B, the people said. Brookfield and an agent for the Grifols family refused to comment, and media representatives for Grifols ( GRFS ) were not available for comments. More on Grifols S.
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