NEW YORK--(BUSINESS WIRE)--
MSCI Inc. (NYSE:MSCI) announced today that it has successfully completed
its previously announced private offering of $800 million aggregate
principal amount of 5.250% senior notes due November 15, 2024 (the
"Offering").
MSCI used the net proceeds from the Offering, together with cash on
hand, to prepay in full its $794.8 million of outstanding indebtedness
under its senior secured term loan facility and has terminated such
facility.
MSCI also announced today that it has entered into a new $200 million
senior unsecured revolving credit agreement (the "New Revolving Credit
Agreement") by and among MSCI, as borrower, certain of its subsidiaries,
as guarantors, the lenders party thereto, and JPMorgan Chase Bank, N.A.,
as administrative agent. Interest on the advances under the New
Revolving Credit Agreement will accrue at an annual rate based on LIBOR
or the base rate plus, in each case, an applicable margin. References to
the New Revolving Credit Agreement are qualified in their entirety by
reference to the full text of the agreement governing that facility,
which will be filed with the Securities and Exchange Commission ("SEC")
as an exhibit to a current report on Form 8-K.
As a result of the Offering and New Revolving Credit Agreement, MSCI
expects annual interest expense, including the amortization of financing
fees, to be approximately $45 million (assuming the New Revolving Credit
Agreement remains undrawn and there is no adjustment to the applicable
rate). In addition, MSCI will record during fourth quarter 2014 a
non-cash charge of approximately $8 million, which reflects the
accelerated amortization of deferred financing and debt discount costs
related to the prepayment of the senior secured term loan facility.
About MSCI
MSCI Inc. is a leading provider of investment decision support tools to
investors globally, including asset managers, banks, hedge funds and
pension funds. MSCI products and services include indexes, portfolio
risk and performance analytics, and ESG data and research.
The Company's flagship product offerings are: the MSCI indexes with over
$9.5 trillion estimated to be benchmarked to them on a worldwide basis1;
Barra multi-asset class factor models, portfolio risk and performance
analytics; RiskMetrics multi-asset class market and credit risk
analytics; IPD real estate information, indexes and analytics; MSCI ESG
(environmental, social and governance) Research screening, analysis and
ratings; and FEA valuation models and risk management software for the
energy and commodities markets. MSCI is headquartered in New York, with
research and commercial offices around the world. MSCI#IR
1As of June 30, 2014, as reported on September 30,
2014, by eVestment, Lipper and Bloomberg
For further information on MSCI, please visit our website at www.msci.com
Forward-Looking Statements
This press release may contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. These
statements relate to future events or to future financial performance
and involve known and unknown risks, uncertainties and other factors
that may cause our actual results, levels of activity, performance, or
achievements to be materially different from any future results, levels
of activity, performance, or achievements expressed or implied by these
forward-looking statements. In some cases, you can identify
forward-looking statements by the use of words such as "may," "could,"
"expect," "intend," "plan," "seek," "anticipate," "believe," "estimate,"
"predict," "potential," or "continue," or the negative of these terms or
other comparable terminology. You should not place undue reliance on
forward-looking statements because they involve known and unknown risks,
uncertainties and other factors that are, in some cases, beyond our
control and that could materially affect actual results, levels of
activity, performance, or achievements.
Other factors that could materially affect actual results, levels of
activity, performance or achievements can be found in MSCI's Annual
Report on Form 10-K for the fiscal year ended December 31, 2013 filed
with the SEC on February 28, 2014, and in quarterly reports on Form 10-Q
and current reports on Form 8-K filed with the SEC. If any of these
risks or uncertainties materialize, or if our underlying assumptions
prove to be incorrect, actual results may vary significantly from what
MSCI projected. Any forward-looking statement in this release reflects
MSCI's current views with respect to future events and is subject to
these and other risks, uncertainties and assumptions relating to MSCI's
operations, results of operations, growth strategy and liquidity. MSCI
assumes no obligation to publicly update or revise these forward-looking
statements for any reason, whether as a result of new information,
future events, or otherwise, except as required by law.
MSCI Inc.
MSCI, New York
Stephen Davidson, 212-981-1090
or
Media
Inquiries:
MSCI, London
Jo Morgan, + 44.20.7618.2224
or
MSCI,
New York
Kristin Meza, 212-804-5330
or
MHP
Communications, London
Sally Todd, + 44.20.3128.8100
or
Christian
Pickel, + 44.20.3128.8100
Source: MSCI Inc.
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