Hubbell obtains $600 million three-year term loan for Northern Star purchase

By Wendy Van Sickle

Columbus, Ohio, Dec. 12 – Hubbell Inc. entered on Dec. 8 into a credit agreement providing for a $600 million three-year term loan with JPMorgan Chase Bank, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

The company borrowed the full amount at closing to finance a portion of its acquisition of Northern Star Holdings, Inc., commercially known as Systems Control, a subsidiary of Comvest Partners, for $1.1 billion in cash.

Borrowings bear interest at adjusted term SOFR plus a margin ranging from 75 basis points to 137.5 bps, depending on Hubbell’s credit ratings.

JPMorgan, BofA Securities, Inc. and HSBC Bank USA, NA were the lead arrangers and bookrunners.

Bank of America, NA and HSBC were the syndication agents.

TD Bank, NA, Morgan Stanley Senior Funding, Inc. and U.S. Bank NA were the documentation agents.

The loans will be due on Dec. 8, 2026.

Hubbell must maintain a ratio of total indebtedness to total capitalization no greater than 65%.

The electrical products and utility solutions company is based in Shelton, Conn.

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