Wells Fargo, Others Amend SUPERVALU ABL Revolver
SUPERVALU announced it has completed the amendment and extension of its existing $1 billion asset-based revolving credit facility, which is secured by the company’s inventory, credit card, wholesale trade, pharmacy and certain other receivables, prescription files and related assets.
Wells Fargo, U.S. Bank, Goldman Sachs, Credit Suisse, Morgan Stanley, Barclays, Rabobank and Bank of America Merrill Lynch acted as joint lead arrangers and joint bookrunners on the amendment.
The amendment extended the maturity date of the revolving ABL facility to September 30, 2019 from its prior maturity date of February 21, 2019. The amendment also added a springing maturity provision that would accelerate the maturity of the revolving ABL facility to 90 days prior to the scheduled maturity date of the company’s $1.5 billion senior secured term loan facility if there are any obligations outstanding under the secured term loan facility as of that date.
By extending the maturity date of the revolving ABL facility to a date at least six months later than the maturity date of the secured term loan facility, the company now has greater flexibility to prepay its 8.00% senior notes due May 2016 with proceeds of the revolving ABL facility.
SUPERVALU is one of the largest grocery wholesalers and retailers in the U.S. with annual sales of approximately $17 billion.
Previously on abfjournal: Wells, Others Arrange SuperValu $1B ABL Facility Amendment, April 18, 2014