Shearman & Sterling advised Morgan Stanley Senior Funding, as Administrative Agent, on a $1.425 billion incremental financing for the combination of Waterlogic Group Holdings and Culligan International. The combined company is majority owned by funds affiliated with BDT Capital Partners, and the firm’s co-investors.

The financing, for Osmosis Buyer, consisted of a $1.1 billion increase to its existing $2.1 billion first lien secured term loan B facility, a $250 million increase to its existing $150 million delayed-draw term loan B facility, and a $75 million increase to its existing revolving credit facility.

Founded in 1936 and headquartered in Rosemont, Illinois, Culligan International manufactures and distributes water filtration and treatment solutions for drinking and soft water in the United States and internationally for residential, office, commercial, and industrial applications. It offers water softeners, drinking water systems, whole house water filters, bottled and bottle less water coolers, showerheads and pitchers.

Waterlogic is an innovative designer, manufacturer, distributor and service provider of drinking water dispensers and accessories designed for environments such as offices, factories, hospitals, restaurants, hotels, schools and public spaces. The combined company operates under the Culligan name.

The Shearman & Sterling team below included associates Camille Masse-Pfister and Christopher Mawyer (both NY-Finance).

The Team