PGT Innovations has secured commitments to reprice its existing $264 million senior secured tranche B term loan facility due 2022 through an amendment of its term loan credit agreement, providing for a new $264 million senior secured tranche B term loan facility due 2022 at LIBOR plus 475 basis points, a reduction of 100 basis points.

Deutsche Bank New York Branch continues to serve as administrative agent and collateral agent under the new term loan facility. The transaction closing is expected on February 17, 2017.

The company estimates that this repricing will reduce cash debt service costs by more than $2.6 million over the next year and by approximately $13 million over the term of the facility.

Jeff Jackson, the company’s president and COO, commented, “Our ability to reprice our term loan facility at a full percentage-point reduction in rate demonstrates the strength of our Company and the positive relationship we have with our lenders.”

Interest under the new term loan facility is payable either quarterly or at the expiration of any LIBOR interest period applicable thereto. Other significant terms, restrictions, and financial and other covenants under the new term loan facility remain unchanged from the existing term loan facility.

Brad West, the company’s CFO, added, “We are accomplishing this repricing with no incremental lenders fees or discount, and at minimal cost to the Company. The substantial cash savings we anticipate from this transaction will increase our free cash flow, reduce our net leverage and further strengthen our already strong balance sheet.”

Venice, FL-based PGT Innovations creates products which focus on protecting and enhancing the beauty and functionality of homes and businesses.