Wabash National Corporation (NYSE:WNC) has completed an amendment to reprice its senior secured Term Loan Credit Agreement, which at current interest rates would be expected to reduce annual cash interest costs by approximately $1.3 million.
As a result of this amendment, which became effective on February 24, the company’s credit agreement will be priced at LIBOR plus 275 basis points and no longer subject to a LIBOR floor. Prior to this amendment, the term loan was priced at LIBOR plus 325 basis points, subject to a minimum LIBOR floor of 100 basis points. The company has approximately $189.5 million outstanding on the term loan which matures in 2022.
Jeff Taylor, Senior Vice President and Chief Financial Officer, commented, “Managing our capital structure to be as effective and efficient as possible is an important component of our corporate strategy. This term loan repricing is a great example of further optimizing our borrowing costs by taking advantage of our strong financial performance and favorable market conditions.”
The Amended Term Loan facility was completed with Wells Fargo Securities, LLC acting as sole lead arranger and sole bookrunner.