Packaging Corp. of America Gets $2 Billion Financing Deal for Boise Acquisition
Sept. 18, 2013 - Bloomberg reported that Packaging Corp. of America (PCA) got a $2 billion financing commitment for its purchase of Boise Inc.
PCA plans to replace a 364-day bridge loan being provided by Bank of America Corp. with longer-term debt that may include as much as $700 million of senior notes and $1.3 billion of term loans consisting of a seven-year portion and five-year piece, according to a regulatory filing yesterday.
PCA agreed to buy the Boise, Idaho-based maker of packaging and paper products for about $1.27 billion in cash. The deal is valued at about $2 billion including Boise’s $714 million outstanding debt.