Drew upsizes line of credit to $100 million via JPMorgan, Wells Fargo

By Susanna Moon

Chicago, March 6 – Drew Industries Inc. upsized its line of credit to $100 million on Tuesday after executing an incremental joinder agreement, according to an 8-K filing with the Securities and Exchange Commission.

The credit agreement expires on Jan. 1, 2019.

The company obtained a $75 million line of credit on Feb. 24 with JPMorgan Chase Bank, NA and Wells Fargo Bank, NA with an option to increase the maximum borrowings under the line of credit by $25 million with lender approval.

Recent amendment

As previously announced, Drew Industries extended its line of credit from $50 million Feb. 27 and its shelf-loan facility with Prudential Investment Management, Inc. to Feb. 24, 2017.

Both facilities were entered into on Nov. 25, 2008.

Interest under the line of credit is Libor plus 200 basis points to 280 bps, depending on the company's performance and financial condition.

The credit line was originally scheduled to expire on Jan. 1, 2016.

The shelf-loan facility was previously increased to $150 million from $125 million and extended to Feb. 24, 2014 from Nov. 25, 2011. The prior amendment was made on Feb. 24, 2011.

The shelf-loan facility provides for Prudential to purchase floating-rate senior promissory notes that mature no more than 12 years after the issue date.

Drew Industries is an Elkhart, Ind.-based supplier of recreational vehicle and manufactured home components.

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