Sigma Advances Acquisition Financing

Mexico’s Sigma Alimentos is organizing a $1bn senior unsecured term loan facility, LatinFinance understands. The 5-year loan comes at Libor+125bp and is tied to a leverage grid. If the leverage ratio is less than or equal to 3x, the margin steps up to 137.5bp in year four, and 150bp year five. At more than 3x, the margin steps up to 150bp in year two, 162.5bp in year four and 175bp in year five. Bank of Tokyo-Mitsubishi is leading. There is a 20bp extension fee applied at the beginning of year four, and again at the beginning of year five. The Grupo Alfa food products subsidiary is making a EUR675m ($908m) bid for European meat company Campofrio Food Group. It is also planning an IPO with Citi, Goldman Sachs, Bank of America Merrill Lynch and Banorte-Ixe.