Wednesday, October 8, 2008

Brocade Gets $1.1B Loan For Foundry Acquisition

San Jose-based Brocade announced Tuesday that it has signed a $1.225 billion secured credit facility for its acquisition of Foundry Networks. Brocade said the credit facility is being administered by Bank of America, N.A., with the involvement of Banc of America Securities, Morgan Stanley Senior Funding, HSBC Bank, National Association, and Keybank National Association all involved in the financing. The fundraise included $1.1 billion in a term loan and $125M in revolving credit. Brocade said it would buy Foundry Networks for $3 billion in July. Brocade said it anticipates raising up to $400M in additional financing for the buy.