Hewlett Packard Enterprise closes $4.75 billion five-year revolver

By Sarah Lizee

Olympia, Wash., Aug. 20 – Hewlett Packard Enterprise Co. entered into a $4.75 billion five-year revolving credit facility on Friday, according to an 8-K filing with the Securities and Exchange Commission.

JPMorgan Chase Bank, NA, Citigroup Global Markets Inc., BofA Securities, Inc., BNP Paribas Securities Corp., HSBC Securities (USA) Inc. and Wells Fargo Securities, LLC are joint lead arrangers and joint bookrunners. JPMorgan and Citi are co-administrative agents. BofA, BNP, HSBC and Wells Fargo are co-syndication agents.

Interest is Libor plus 87.5 basis points to 162.5 bps and the commitment fee is 7 bps to 22.5 bps, both depending on ratings.

Loans may be used for general corporate purposes.

The maturity may be extended by up to two one-year periods, subject to some conditions.

The agreement contains a covenant under which Hewlett Packard Enterprise will not permit the ratio of consolidated EBITDA to consolidated net interest expense for any period of four consecutive fiscal quarters to be less than 3 to 1.

Hewlett Packard Enterprise terminated on Friday its existing $4 billion five-year revolver dated as of Nov. 1, 2015.

The technology company is based in Palo Alto, Calif.

© 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.