Blackstone has secured more than $1bn in private credit financing to fund its acquisition of Champions Group, Bloomberg reported.

The financing supports Blackstone’s agreement in February to acquire the California-based home services provider from Odyssey Investment Partners in a deal valuing the business at approximately $2.5bn.

The private credit loan priced at around 4.5 percentage points above the benchmark rate, according to people familiar with the matter. The package includes a delayed-draw term loan and implies leverage of roughly 6.5 times earnings.

Champions Group provides residential maintenance services including furnace repair and air-conditioning servicing. Businesses in this segment are viewed by lenders as relatively insulated from technological disruption, helping support demand for financing in the current market.

The transaction highlights the expanding influence of private credit funds as buyout sponsors increasingly rely on alternative lenders to finance acquisitions.

If you think we missed any important news, please do not hesitate to contact us at [email protected].

Can`t stop reading? Read more.