Rare bank and bond financing uses accordion facility, SPV

Author: | Published: 14 Nov 2011
Liberty Global has closed a rare $1.2 billion new-money bank and high yield bond financing utilising an accordion facility and a novel special purpose vehicle (SPV) structure to allow it to launch in tight issuance windows.

The bank piece, which was completed a few weeks before the bond piece, consisted of a $500 million underwritten term-loan bullet facility and shared pari with the existing senior debt.

UPC Financing Partnership, the borrowing entity, had a 10-year-old accordion facility in place to allow it to bring in tranches quickly to sit into the existing bank structure.

"The debt accordion...