The firm will use a mix of leveraged loans and high-yield bonds according to Reuters, which cited unidentified sources.
It said the senior would be split into loans and senior secured bonds, while the junior debt would comprise senior unsecured bonds.
CVC will pick up 76 per cent of the business from Charterhouse following a lacklustre sale process which attracted just one other offer from BC Partners and the Ontario Teachers’ Pension Plan.
Ista management will retain an interest in the company following CVC’s buyout.
Charterhouse acquired Ista for €2.4bn including €2.1bn of debt in 2007 from CVC, which later reacquired a 24 per cent stake.
Charterhouse is currently attempting to recoup capital ahead of an expected fundraise this year.
The buyout firm last raised a €4bn vehicle in 2009, and is believed to be considering a similar target this time around.
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