RLPC-UPDATE 1-Boots delays 5 bln stg senior debt amid turmoil

(Reuters) - LONDON, July 25 - Alliance Boots [AB.UL] has
postponed syndication of the 5.05 billion pounds
of senior debt backing its leveraged buyout, Europe's largest
ever, a source familiar with the situation told Reuters Loan
Pricing Corp. on Wednesday.




The company, which is being bought by Kohlberg Kravis
Roberts & Co [KKR.UL] and deputy chairman Stefano Pessina for
11.1 billion pounds, is pressing ahead with the syndication of
1.75 billion pounds of second-lien and mezzanine debt at steep
discounts, with responses on these tranches due by Friday, the
source said.


Read more at Reuters.com Mergers News

KKR's Banks Postpone Alliance Boots LBO Loans Until Next Week, Banker Says

(Bloomberg) -- Kohlberg Kravis Roberts & Co.'s
banks postponed a deadline to finance the buyout of Alliance
Boots Plc after failing to raise enough demand for the 9 billion
pounds ($18.5 billion) of loans, said a banker involved.

KKR and lenders led by Deutsche Bank AG started offering
the debt to investors three weeks ago and had asked them to
commit no later than today. The underwriting banks are now
giving potential investors until next week to join the loan with
the extra time designed to boost participation, said the banker
on the deal, who declined to be identified because the
discussions are private.


Read more at Bloomberg Bonds News

KKR Accepts Borrowing Limits in Record $22 Billion Alliance Boots Buyout

(Bloomberg) -- Kohlberg Kravis Roberts & Co. will
accept borrowing limits imposed by lenders funding its 11.1
billion-pound ($22 billion) purchase of Alliance Boots Plc, as
investors shun risky assets, bankers arranging the deal said.

KKR is meeting with investors today to raise 9.02 billion
pounds in loans for Nottingham-based Boots, the biggest U.K.
drugstore chain. The loans will include limits on the amount of
debt the company can have relative to its cashflow, through so-
called maintenance covenants, said the bankers, who declined to
be named because the terms aren't public.


Read more at Bloomberg Bonds News

Cadence Design buyout talks stall over price: paper

(Reuters) - At $6.5 billion, Cadence may be too expensive for the firms, the Times said. The Times first reported interest in Cadence on June 4.




Neither Blackstone, KKR nor Cadence immediately returned calls seeking comment.


Read more at Reuters.com Business News