Hayes Lemmerz reprices term B, lowering rates by 100 basis points

By Sara Rosenberg

New York, Oct. 20 - Hayes Lemmerz International Inc. said it closed on the repricing of its $450 million six-year term loan B, reducing the interest rate by 100 basis points to Libor plus 375 basis points. Citigroup was the lead bank on the deal.

Lenders were offered an eighth of a point upfront in return for the lower interest rate, a market source previously told Prospect News.

The reduced interest rate will save the Northville, Mich. auto parts maker approximately $4.5 million annually, according to a news release.

"This interest rate reduction reflects our lenders' recognition that Hayes Lemmerz' business prospects are good, and our credit is sound," said James Yost, vice president of finance and chief financial officer, in the release. "The reduced interest cost contributes to our ever-increasing competitiveness, and helps us toward our goal of being one of the best suppliers to the global automotive industry."

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.