Replies to post #29 on B&G Foods Inc (BGS)

[FUNMAN]

B&G Foods prices $450M term loan B facility

Sep. 17, 2019 6:36 AM ET
About: B&G Foods, Inc. (BGS)
By: Niloofer Shaikh, SA News Editor

https://seekingalpha.com/news/3499692-b-and-g-foods-prices-450m-term-loan-b-facility?app=1#email_link

I believe they are paying a higher rate on the new offering versus the one they are retiring?

B&G Foods (NYSE:BGS) has priced $450M tranche B term loan facility under company’s existing senior secured credit facility at a price equal to 99.50% of its face value and will bear interest at a rate of LIBOR plus 2.50%, with a 0.0% LIBOR floor and will have a seven year maturity.

The company intends to use the proceeds of the new term loans, together with the net proceeds of B&G Foods’ previously announced offering of $550M of 5.25% senior notes due 2027, to redeem all of B&G Foods’ outstanding 4.625% senior notes due 2021, repay a portion of B&G Foods’ borrowings under its revolving credit facility, pay related fees and expenses and for general corporate purposes.

The tranche B term loan facility is expected to close on October 11.