Textainer cuts coupon on $300 million revolver to Libor plus 195 bps

By Toni Weeks

San Luis Obispo, Calif., Feb. 5 – Textainer Group Holdings Ltd.’s indirect wholly owned subsidiary Textainer Marine Containers IV Ltd. amended its $300 million revolving facility to lower the interest rate and extend the maturity, according to a press release.

The borrowing costs was lowered to Libor plus 195 basis points during an initial three-year period.

Following the initial three-year period, the interest rate will increase to Libor plus 295 bps if the facility is not refinanced or renewed, and at that time it will be structured to partially amortize over the next two years and then mature.

Prior to the amendment, the interest rate was Libor plus 225 bps with a two-year revolving period.

The company also lowered the unused fee and improved other terms.

Proceeds will be used to acquire and fund intermodal shipping containers that are at least five years old from Textainer’s other container-owning subsidiaries.

Royal Bank of Canada, SunTrust Bank, ABN AMRO Capital USA LLC and PNC Bank NA are the lenders.

Textainer is a lessor of intermodal containers based on fleet size. It is based in Hamilton, Bermuda.

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