Daily News: January 9, 2018

Credit Suisse Agents Presidio Refi

Presidio closed a term loan B facility, which provided $576.6 million of term loans to refinance the company’s existing term loan facility and $140 million of additional term loans.

According to a related 8-K filing, Credit Suisse Cayman Island branch served as administrative agent for the transaction.

Prior to the refinancing, the company voluntarily prepaid $25.0 million of term loans under its existing term loan facility on December 29, 2017.

The term loan B facility was issued at a price equal to 99.75% of its face value, with an interest rate of LIBOR + 2.75% or alternate base rate plus 1.75%, representing a 0.50% reduction from Presidio’s prior term loan facility, and a 1.00% LIBOR floor. The maturity date of the term loan B facility is February 2, 2024, a two-year extension to the maturity of Presidio’s prior term loan facility.

Presidio used the proceeds from the term loan B to refinance all $576.6 million outstanding under its existing term loan facility, redeem all $125 million of Presidio Holdings outstanding 10.25% senior notes due 2023 and pay fees, expenses, premiums and interest.

As a result of the redemption of the senior notes and the refinancing of Presidio’s prior term loan facility with the term loan B facility, the company expects to realize annualized interest expense savings of approximately $10.5 million.

Presidio is a North American IT solutions provider focused on digital infrastructure, cloud and security solutions.