September 1, 2014 / 10:12 AM / 3 years ago

REFILE-RLPC-Bankers line up around 1 bln euros of debt for Get sale

(Fixes typographical error in paragraph 4)

By Claire Ruckin

LONDON, Sept 1 (Reuters) - Bankers are working on debt financing packages of around 1 billion euros ($1.3 billion) to back a potential sale of Norway’s second-biggest cable operator Get, banking sources said on Monday.

GS Capital Partners and Quadrangle bought Get, previously known as UPC Norge, in 2007 for around $1.1 billion, backed with 3.71 billion Norwegian crowns ($600 million) of debt.

They considered selling the company in 2012 but opted to reshuffle Get’s debt instead and raise a new loan to fund a dividend payment, according to Thomson Reuters LPC.

The two owners have launched a sale process in tandem with preparations for an initial public offering (IPO).

Get expects to receive binding offers from Denmark’s TDC and private equity funds BC Partners and EQT by a bid deadline of Sept. 11, in a sale that could value the company at around 1.4 billion euros, sources familiar with the matter have said.

Bankers are working on debt financing packages to back a potential sale. At around 1 billion euros, they would total 6.5 to 7 times Get’s earnings before interest, tax, depreciation and amortisation (EBITDA) of approximately 150 million euros, the bankers said.

Bankers are considering senior leveraged loans, second lien loans and high-yield bonds to back a deal, the bankers said.

The deal will be welcomed by bankers and cash-rich institutional investors eager to put money to work, especially for so-called event driven financings.

Get provides cable TV, high-speed broadband internet and telephony services to residential customers in Norway.

(1 US dollar = 0.7609 euro)

1 US dollar = 6.1824 Norwegian krone Editing by Mark Potter

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