Banks led by Royal Bank of Canada (RY) are marketing $1.8 billion in loans to support Investindustrial's acquisition of TreeHouse Foods (THS), Bloomberg News reported Wednesday, citing a person with knowledge of the matter.

The debt package consists of a $1.25 billion term loan B maturing in seven years, along with $550 million in additional secured debt, according to the news outlet.

A meeting for potential backers is scheduled for Wednesday morning with final commitments for the financing due by Feb. 4, the report added.

In November, TreeHouse Foods agreed to be acquired by Investindustrial in an all-cash deal for a total enterprise value of $2.9 billion.

TreeHouse Foods, which will be taken private upon the completion of the transaction, manufactures products for major retailers including Walmart (WMT), according to the report.

Royal Bank of Canada, Investindustrial, TreeHouse Foods and Walmart did not immediately respond to MT Newswires' request for comment.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

Price: 167.68, Change: +0.24, Percent Change: +0.14