Navistar International announced it has completed refinancing the $697.5 million senior secured term loan facility of Navistar, which was due to mature in August 2017, with a new $1.040 billion senior secured term loan that matures in August 2020.

J.P. Morgan Securities, Goldman Sachs Lending Partners and Credit Suisse Securities (USA) served as joint lead arrangers and joint bookrunners. JPMorgan Chase will serve as administrative agent and collateral agent.

Navistar said the refinancing will provide additional liquidity and financial flexibility for the company and extend the maturity of the term loan facility. As a result of this transaction, the maturity date of Navistar’s $175 million ABL credit facility will also be extended by one year to May 2018. 

“The quality, uptime and fuel efficiency of our new products are driving significant customer orders in advance of the traditional selling season later this fall, said Walter G. Borst, Navistar CFO. “We feel that the additional liquidity and financial flexibility provided by this refinancing transaction will ensure that we are well positioned to build on this momentum throughout the rest of 2015 and into next year.”