NN, a diversified industrial company, amended and restated its credit facility to lower the interest rate and rate floor on its term loan.
The new applicable rate for the term loan is LIBOR, subject to a 0.75% rate floor, plus 4.25%, which in combination is 0.75% lower than the previous rate. There were no changes to the maturities or covenants under the credit facility.
The amendment also increased NN’s revolving loan credit facility from $133 million to $143 million.
HomeTrust Bank served as 2016 revolving credit increase lender, KeyBank was an L/C issuer, Regions Bank was swing line lender and an L/C issuer and SunTrust Bank served as administrative agent and an L/C issuer.
Richard D. Holder, president and CEO, commented, “This is an important step in the continued evolution of our capital structure and we were pleased to take advantage of the current market environment and demand for our debt. This reduction in interest expense is significant as we continue to work toward our strategic targets over the coming months and years.”
Johnson City, TN-based NN combines advanced engineering and production capabilities with in-depth materials science expertise to design and manufacture high-precision components and assemblies for a variety of markets on a global basis.