Monotype Nabs Over $1.4 Billion Debt Package for Owner Payout

Buyout firm HGGC has clinched a $1.45 billion financing from direct lenders for its portfolio company Monotype Imaging Holdings Inc., and plans to use almost half of it to pay itself a dividend.

Lenders including Blue Owl Capital Inc., Antares Capital and Oaktree Capital Management provided the largest chunk of the financing, comprising a $1.2 billion term loan, according to people familiar with the matter. The loan priced at around 5.5 percentage points over the Secured Overnight Financing Rate, the people said, declining to be identified as the details are private.

The debt package also includes a $150 ...