Asbury Automotive Group entered into a second amended and restated $1.3 billion, five-year syndicated senior credit facility. Asbury’s new senior credit facility replaces its previously amended and restated facility, and provides additional borrowing availability, increased financial flexibility and an extended maturity date.
The new vehicle floor plan interest rate will remain at one-month LIBOR+125 basis points and the used vehicle floor plan interest will remain at one-month LIBOR+150 basis points.
Asbury’s new senior credit facility provides for:
- A $250 million revolving credit facility
- A $900 million new vehicle revolving floor plan facility
- A $150 million used vehicle revolving floor plan facility
The new senior credit facility also provides for the expansion of the availability, subject to certain conditions, of up to a total of $1.625 billion. Additionally, the maturity date was extended from August 2018 until July 2021.
The syndication was arranged through Merrill Lynch, Pierce, Fenner & Smith. JPMorgan Chase and Wells Fargo served as co-syndication agents. Mercedes-Benz Financial Services USA and Toyota Motor Credit served as co-documentation agents. Bank of America will serve as administrative agent.
Lenders in the new syndicated credit facilities include six manufacturer-affiliated finance companies consisting of American Honda Finance, BMW Group Financial Services, Mercedes-Benz Financial Services USA, Nissan Motor Acceptance, Toyota Motor Credit and Volkswagen Credit. It also includes six commercial banks and other lending institutions consisting of Bank of America, JPMorgan Chase, Mass Mutual Asset Finance, SunTrust Bank, U.S. Bank and Wells Fargo.
“Our expanded $1.3 billion senior credit facility provides additional financial flexibility to support our business strategy over the next five years,” said Keith Style, Asbury’s senior vice president and CFO. “We want to thank our lending partners for their continued support.”