Boots Drops Dollar Bonds From Debt Sale, Shifting More to Loans

Banks selling debt backing Sycamore Partners’ acquisition of Boots have dropped the US dollar tranche of the bond and increased the size of the loan offering.

They were meant to sell $500 million of bonds, but have instead boosted the size of the term-loan B by a similar amount to $2.75 billion across dollars, euros and sterling, according to people familiar with the matter, who asked not to be identified discussing private matters. The loan sale has also been accelerated, typically a sign of strong demand.

Banks were initially looking to sell $2 billion-equivalent of bonds for Boots as ...