Goldman Sachs Leads $1B Term Loan and $300MM Revolving Credit Facility for Cedar Fair

Cedar Fair, a company that operates regional amusement parks, water parks and immersive entertainment experiences, entered into new credit facilities, comprising of a seven-year, $1 billion senior secured term loan B maturing in 2031 and a new $300 million revolving credit facility maturing in 2028._x000D_
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Goldman Sachs served as lead arranger, and Weil, Gotshal & Manges represented Cedar Fair as borrower’s counsel. Additional joint lead arrangers on the deal are Wells Fargo Securities, PNC Capital Markets, Citizens Bank, Fifth Third Bank, JPMorgan Chase Bank (through its agent, J.P. Morgan Securities), KeyBanc Capital Markets, Capital One, HSBC Securities and Texas Capital Bank._x000D_
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Cedar Fair is using the proceeds from the new term loan and cash on hand to fund the previously announced redemption of all of its outstanding $1 billion 5.500% senior secured notes due in May 2025 and to pay related expenses of the refinancing. The new revolving credit facility will replace Cedar Fair’s existing revolving credit facility._x000D_
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“We are very pleased with the solid execution of the transaction and strong market demand for our term loan,” Brian Witherow, CFO of Cedar Fair, said. “The overall strength of our balance sheet and strong 2023 financial performance created an opportunity for us to extend maturities and gain capital structure flexibility at market-favorable rates. We appreciate the strong support and continued confidence of our relationship banks and the debt capital markets.”_x000D_
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The interest rate for the term loan will be Term SOFR plus a margin of 2.00% per annum. The interest rate for borrowings under the revolving credit facility will be Term SOFR or Term CORRA plus a margin of 2.00% per annum. The new credit facilities are subject to customary affirmative, negative and financial covenants.