CSM Ingredients lays out terms for buyout loan

Price talk for CSM Ingredients' €245 million, seven-year loan is at E+500, with a 0% floor, and an offer price of 97-97.5. At the guided terms, the facility would yield around 5.56%-5.66% to maturity. Commitments are due on Feb. 9 and UBS is physical bookrunner on the deal.

The loan, which will carry six months of 101 soft call protection, will be used to support Investindustrial's buyout of the firm.

Investindustrial announced its carve-out of the CSM Ingredients business from CSM Bakery Solutions Europe Holding BV in October 2020. The business manufactures and distributes bakery ingredients, such as bread mixes, pastry mixes, bakery fats, and glazes, mainly to pastry and bakery shops and industrial firms.

CSM Ingredients operates in Germany, Italy, France, the U.K. and Benelux, with a growing presence in China and Asia. It has eight manufacturing facilities and generates revenue of roughly €500 million, according to the sponsor's announcement of the acquisition.