DigitalGlobe refinanced its credit facilities, reducing the interest rate and extending maturities on the company’s debt, with a new seven-year $1.275 billion senior secured term loan facility and a new five-year $200 million revolving credit facility.

According to a related 8-K filing, Barclays Bank served as administrative agent and collateral agent for the transaction.

The new term loan matures January 2024 and bears interest according to a leveraged-based pricing grid, initially set at LIBOR plus 275 basis points, with a 75 bps LIBOR floor. The revolving credit facility matures January 2022 and will be undrawn at closing.

Proceeds from the senior secured credit facility will be used to refinance all of the company’s existing debt, comprised of its $531 million term loan, $110 million of outstanding revolving borrowings, and $600 million of 5.25% senior notes due February 2021, together with accrued interest, fees and tender or redemption premium, as applicable.

As of the December 22, 2016 closing date, the company has repaid its existing term loan, revolving borrowings, and $566 million of its 5.25% senior notes validly tendered by the consent payment deadline and accepted for payment pursuant to the company’s tender offer which expires on January 4, 2017. Remaining proceeds will be used to purchase any notes validly tendered by the tender offer expiration date and accepted for payment and then to redeem any remaining outstanding notes pursuant to the company’s redemption notice issued on December 22, 2016, together with accrued interest and the applicable make-whole premium.

“We remain pleased with the solid performance of our business and thrilled that favorable market conditions have provided us the opportunity to extend maturities, improve the terms of our debt, and increase the size of our revolver,” said Gary W. Ferrera, DigitalGlobe’s CFO. “With our increased financial flexibility, we are now even better positioned to advance our industry leadership.”

Westminster, CO-based DigitalGlobe is a provider of commercial high-resolution Earth observation and advanced geospatial.