Casual fast food operator Bloomin’ Brands completed a senior secured financing of up to $1.5 billion, consisting of a $500 million term loan A and a $1 billion revolving credit facility.
According to a related 8-K filing, Wells Fargo served as administrative agent for the transaction.
The new facility replaces the company’s prior $1.322 billion credit facility among certain of the company’s subsidiaries, the administrative agent and the lenders party. A total of approximately $1.194 billion was outstanding at the time of replacement.
Borrowings under the new facility bear interest at rates ranging from 1.50% to 2.00% over adjusted LIBOR or 0.50% to 1.00% over the alternate base rate.
The term loan A requires scheduled quarterly amortization payments in aggregate annual amounts equal to 5.0% of the original principal amount of the term loan for the first, second and third years, 7.5% for the fourth year and 10.0% for the fifth year. These payments are reduced by the application of any prepayments, and any remaining balance will be paid at maturity. The maturity date for the new facility is November 30, 2022.
The revolving credit facility provides sub-limits for swing-line loans of up to $50.0 million and letters of credit of up to $75.0 million. At closing, $697.0 million was drawn under the revolver and $22.9 million of the facility was committed for the issuance of letters of credit and not available for borrowing.
Effective November 30, 2017, the prior facility was terminated and all outstanding amounts were repaid in full.
Bloomin’ Brands operates several restaurant chains, including Outback Steakhouse and Bonefish Grill.