Milbank Advises Initial Purchasers and RCF Lenders on Financing of Apollo’s Acquisition of Kelvion Group

In connection with the previous advice on the financing package in support of Apollo’s acquisition of the Kelvion Group, Milbank LLP represented the initial purchasers in connection with the offering of €750 million senior secured floating rate notes due 2032 (the “Notes”) by King US Bidco, Inc. (the “Offering”). Milbank also represented the lenders on a €120 million multicurrency revolving credit facility and a €170 million multicurrency guarantee facility.

The initial purchasers of the Notes included Deutsche Bank, J.P. Morgan, Barclays, UBS Investment Bank, BBVA, Citigroup, Commerzbank, ING, Morgan Stanley, NatWest, Standard Chartered Bank, UniCredit and Apollo Capital Solutions Europe.

The gross proceeds from the Offering will be used, together with other funding, directly or indirectly, (i) to fund the majority acquisition of the Kelvion Group (including the repayment of existing debt) and (ii) to pay costs, fees and expenses in connection with the aforementioned transaction. The Notes will be funded into escrow until the completion of the acquisition.

The Kelvion Group is a leading global provider of highly engineered, mission-critical and resource-efficient thermal management solutions with more than 100 years of experience. The Kelvion Group designs and manufactures heat exchangers and other thermal solutions, and delivers engineering, installation and maintenance services across several end markets.

The Milbank team was led by European Leveraged Finance/Capital Markets partners Rebecca Marques, Sarbajeet Nag and Suhrud Mehta; and associates Michael Gatter, Vasujith Ram, Alexandros Makris, Katherine Williams, Irene Vazquez Scortti and João Martins. The team also included New York Tax partner Andrew R. Walker and associate Michelle Song and London Tax partner Alan Rafferty and associate Jade Du Berry.