William Carter gets $375 million revolver led by Bank of America

By Sara Rosenberg

New York, Oct. 21 - William Carter Co. closed on a $375 million five-year revolving credit facility, according to an 8-K filed with the Securities and Exchange Commission on Thursday.

Bank of America acted as the lead arranger, bookrunner and administrative agent on the deal that was completed on Oct. 15.

Initial pricing on the revolver is Libor plus 225 basis points with a 40 bps commitment fee. Pricing can range from Libor plus 200 bps to 250 bps and the commitment fee can range from 35 bps to 50 bps, based on leverage.

Financial covenants include a lease adjusted leverage ratio of 3.75:1.00 until Dec. 31, 2014 and 3.50:1.00 thereafter and a fixed-charge coverage ratio of 2.75:1.00.

There is a $75 million accordion feature.

Proceeds were used to refinance an existing credit facility and are available for working capital and general corporate purposes.

At close, $236 million was drawn under the revolver and an $8.6 million letter of credit was outstanding.

William Carter is a wholly owned subsidiary of Carter's Inc., an Atlanta-based designer and marketer of apparel and related products principally for babies and young children

© 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.