Davis Polk is advising Merrill Lynch, Pierce, Fenner & Smith Incorporated as sole lead arranger and bookrunner in connection with $2.12 billion of financing provided to Tempur-Pedic International Inc. for its proposed acquisition of Sealy Corporation. The financing consists of $1.42 billion senior secured term loan facilities, a $350 million senior secured revolving credit facility and a $350 million senior unsecured bridge facility.
Based in Lexington, Kentucky, Tempur-Pedic is a leading manufacturer, marketer and distributor of premium mattresses and pillows, which it sells in approximately 80 countries under the TEMPUR and Tempur-Pedic brands. Sealy is a leading bedding manufacturer in the United States that manufactures and markets a complete line of bedding products, including mattresses and mattress foundations, under the Sealy, Sealy Posturepedic, Stearns & Foster and Bassett brand names.
The Davis Polk financing team includes partner Jason Kyrwood and associates Meyer C. Dworkin and Russ McCracken. The Davis Polk capital markets team includes partner Michael Kaplan, associate Robby Sen and law clerk Lisa Bozman. Partner Lucy W. Farr and associate Arie Rubenstein are providing tax advice. Counsel Loyti Cheng and associate Kevin J. Klesh are providing environmental advice. Partner Arthur J. Burke is providing antitrust and competition advice. Counsel Jeanine P. McGuinness is providing OFAC advice. Members of the Davis Polk team are based in the New York and Washington DC offices.
