Wabtec expands revolver to $1.5 billion, adds $250 million term loan

Lexington, Ky., Aug. 17 – Westinghouse Air Brake Technologies Corp., Wabtec Transportation Netherlands BV and certain subsidiaries entered an amendment and restatement agreement on Aug. 15 providing for an increased $1.5 billion revolving credit facility and adding a new $250 million delayed-draw term loan facility, according to a press release and an 8-K filing with the Securities and Exchange Commission.

The revolver was increased from $1.2 billion.

The new facility contains an uncommitted accordion feature allowing the company to request increases to the borrowing commitments under the revolver or new incremental term loan commitments up to $750 million.

The facility now has a maturity date of August 2027, pushed out from June 2023.

There is a pricing structure change to a SOFR-based pricing grid from the previous Libor. Specifically, the interest rate for borrowing under the restated agreement ranges from SOFR plus 100 to 175 basis points, based on the lower of the company’s financial leverage or public rating.

Borrowings of any delayed-draw term loans and under the revolving credit facility are subject, in each case, to customary borrowing conditions precedent.

PNC Bank, NA is acting as the administrative agent.

Citibank NA, HSBC, JPMorgan Chase Bank NA, and TD Bank NA are the co-syndication agents.

BNP Paribas, Credit Agricole CIB, First National Bank, MUFG Ltd., and U.S. Bank NA are acting as co-documentation agents

The agreement amended, restated and replaced in its entirety the company’s existing credit agreement dated June 8, 2018.

Wabtec Corp. is a Pittsburgh-based provider of products and services for rail and other industrial markets.

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