Western Digital secures debt under credit facility, notes with assets

By Devika Patel

Knoxville, Tenn., June 22 – Western Digital Corp. amended its loan agreement on June 20, according to an 8-K filed with the Securities and Exchange Commission.

The agreement was amended so that the obligations under the credit facilities will be secured on a first-priority basis by a lien on basically all the company’s assets and properties.

The obligations under the company’s 2.85% senior notes due 2029 and 3.1% senior notes due 2032 will be secured by the collateral on an equal and ratable basis to the obligations under the credit facilities.

In connection with the credit agreement amendments, the company and Western Digital Technologies, Inc. entered into guarantee agreements to unconditionally guarantee the obligations under the credit facilities.

The guarantors will also guarantee the obligations under the company’s 4¾% senior notes due 2026.

Certain covenants and other terms of the loan were also amended.

Western Digital is an Irvine, Calif.-based developer and manufacturer of storage solutions that enable people to create, manage, experience and preserve digital content.

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