Misys obtains $325M in funding for Allscripts merger
The London-based Misys said that it has signed definitive agreements for $325 million of financing to replace its credit facility with Lehman Brothers. It will use the new credit facilities to fund a portion of the consideration for the purchase of common stock shares of Allscripts.
The new financing will come from two sources: a $150 million revolving credit facility will be provided for a term of 18 months by a lending group comprising HSBC Bank, the Governor and Company of the Bank of Ireland, and the Royal Bank of Scotland; and the remaining $175 million financing will be provided by ValueAct Capital, Misys’s largest shareholder, under a subordinated credit facility for a term of 20 months.
Misys also confirmed that the $150 million of proceeds from Misys’ equity offering in March, which was underwritten by ValueAct Capital, remains in place.