Blackstone (BX) faces above-average pricing to finance its acquisition of a controlling stake in Flow Control, with banks led by UBS Group (UBS) offering investors as much as 4 percentage points over the benchmark on the deal's loan, Bloomberg reported Tuesday, citing a person familiar with the matter.

The margin stands out against the average 2.96-percentage-point spread on US leveraged loans priced so far this year, Bloomberg data show, according to the report.

The lender group is pitching the $1.05 billion, seven-year loan at 99 cents on the dollar, with orders due Oct. 15, the report said.

Blackstone and UBS didn't immediately respond to requests for comment from MT Newswires.

(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.)

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