Loan Refinancing and Amendments - The Borrower requested to incur a tranche of "Refinancing Incremental Term Loans" in an aggregate amount not less than 2,157,391,086.86torefinanceexistingloans[5].−TheRepriced2021IncrementalTermLoanswillhavethesametermsastheExisting2021IncrementalTermLoans,exceptforspecifiedamendments[10].−ThecashproceedsfromtheRepriced2021IncrementalTermLoanswillbeappliedtowardrepaymentoftheoutstandingprincipalamountoftheExisting2021IncrementalTermLoans[11].−AllinterestaccruedontheExisting2021IncrementalTermLoanspriortotheFundingDatewillbepaidontheFundingDate[14].−TheexecutionanddeliveryofthisAmendmentdonotimpairthevalidityorpriorityoftheLiensgrantedunderanyLoanDocument[22].−TheBorrowerwillprovidenoticetotheAdministrativeAgentpriorto11:00a.m.ontheBusinessDaybeforetheFundingDatespecifyingtheamountofRepriced2021IncrementalTermLoanstobeborrowed[12].−TheBorrowerwillpayallreasonableanddocumentedout−of−pocketcostsandexpensesoftheAdministrativeAgentinconnectionwiththisAmendment[26].−TheRepriced2021IncrementalTermLoanswillbemadeavailabletotheBorrowerinfundsimmediatelyavailableontheFundingDate[12].−TheAmendmentwillbecomeeffectiveontheFundingDatewhenallspecifiedconditionsaresatisfiedorwaived[23].−TheBorrowermustprovideexecutedlegalopinionsfromKaneKesslerP.C.andlocalcounselforLoanParties,withadeadlineof30dayspost−FundingDateifnecessary[27].−EachrelevantLendermustreceiveaTermLoanNoteatleastfiveBusinessDaysbeforetheFundingDate[28].−DocumentationrequiredbybankregulatoryauthoritiesmustbeprovidedatleasttenBusinessDayspriortotheFundingDate[29].−AsolvencycertificatefromafinancialofficerofHoldingsisrequired,confirmingthatHoldingsanditsSubsidiariesaresolventbeforeandafterthetransactions[31].−Anofficer′scertificatemustcertifythatallrepresentationsandwarrantiesaretrueasoftheFundingDate,withnoDefaultsexisting[33].−TheBorrowermustpayallaccruedbutunpaidinterestontheExisting2021IncrementalTermLoansconcurrentlywiththeFundingDate[34].−TheLoanPartiesmustenterintoadditionalCollateralDocumentswithin30daysaftertheFundingDateasrequiredbytheAdministrativeAgent[36].−TheRepriced2021IncrementalTermLoanswillconstitute"Obligations"undertheAmendedCreditAgreementuponfunding[47].−TheBorrowerandAdministrativeAgentwilltreattheRepriced2021IncrementalTermLoansasnotqualifyingasa"grandfatheredobligation"underFATCA[52].−BofASecurities,Inc.andotherfirmsareappointedasjointleadarrangersfortheRepriced2021IncrementalTermLoans[54].CompanyStructureandOperations−Thecompanyhasatotalof84subsidiaryguarantorslisted,indicatingabroadoperationalstructure[59].−Thecompanyhasadiverseportfolioofsubsidiariesacrossvarioussectors,enhancingitsmarketpresenceandoperationalcapabilities[59].−Thecompanyisrepresentedbymultipleauthorizedsignatories,indicatingastructuredgovernanceandcomplianceframework[66][72].−Thecompanyhasestablishedasignificantpresenceininternationalmarkets,asevidencedbyitssubsidiariesinCanadaandtheNetherlands[60][66].−Thecompanyiscommittedtomaintainingitsfinancialagreementsandhasreceivednonoticeofrevocationofitspowerofattorney,ensuringcontinuityinitsoperations[74][75].−Thecompanyisleveragingitssubsidiarystructuretooptimizeitsfinancialstrategiesandenhanceoperationalefficiency[59].−Thecompanyispositionedforfuturegrowththroughstrategicfinancialmanagementandarobustnetworkofsubsidiaryguarantors[59].FinancialManagementandStrategy−APIGroupCorporationhasundergonemultipleamendmentstoitscreditagreement,withthelatestamendmentdatedOctober11,2023[95].−Thecompanyhasacommitmenttomaintainitsfinancialobligationsasoutlinedinthecreditagreement,ensuringliquidityandoperationalstability[96].−Thecreditagreementincludesprovisionsforincrementalamendments,allowingforflexibilityinfundingandcapitalmanagementstrategies[95].−APIGroupCorporationisfocusedonmanagingitsdebtlevelseffectively,withspecifictermsrelatedtoloanrepaymentsandinterestratesoutlinedintheagreement[96].−Thecompanyisexploringopportunitiesformarketexpansionandpotentialacquisitionsaspartofitsgrowthstrategy,supportedbyitsfinancialframework[95].−Thecreditagreementemphasizestheimportanceofcompliancewithfinancialcovenantstomaintainfavorablelendingterms[96].−APIGroupCorporationiscommittedtotransparencyinitsfinancialreportingandadherencetolegalandregulatoryrequirements[95].−Thecompanyisactivelymonitoringitsfinancialperformancemetricstoensurealignmentwithitsstrategicobjectives[96].−APIGroupCorporation′sfinancialstrategyincludesprovisionsformanagingforeigncurrencyrisksassociatedwithitsoperations[95].−Thecompanyisfocusedonenhancingitscapitalstructuretosupportongoinginvestmentsinnewtechnologiesandproductdevelopment[96].LoanAmountsandTerms−Thecompanysecuredinitialtermloanstotaling1,200,000,000 and revolving credit commitments of 300,000,000duringtheAPiacquisition[107].−Anadditional250,000,000 was extended through the 2020 Incremental Amendment, with a maturity date set for October 1, 2026[113]. - The 2021 Incremental Amendment increased revolving credit commitments by 200,000,000andextendedthematuritydate[107].−ThecompanyreplacedtheUSLIBORatewithTermSOFRaspartofthe2023USLIBORateReplacementAmendment[107].−The2023RepricingandMaturityExtensionAmendmentreducedtheapplicablerateforinitialtermloansand2021incrementaltermloans[108].−The2024IncrementalAmendmentprovidedanadditional300,000,000 in incremental term loans[108]. - The company has made several amendments to its credit agreement to optimize its financing structure and reduce costs[107]. - The total amount of 2021 Incremental Term Loans was adjusted to include new incremental loans that are fungible with existing loans[108]. - The aggregate amount of 2021 Incremental Term Loan Commitments is 1,100,000,000,whichwillbereducedtozerouponfunding[121].−TheApplicableRateforthe2021IncrementalTermLoanis1.755,000,000 from being classified as an "Asset Sale" under the Agreement[157]. - The Adjusted Eurocurrency Rate is defined as the greater of 0.00% per annum or the product of the Eurocurrency Rate and Statutory Reserves[137]. - The definition of Adjusted Term SOFR includes a floor rate to ensure it does not fall below a specified minimum[138]. - The "Available Amount" is defined as a cumulative amount of at least 50,000,000plusnetcashproceedsfromequityinterestsandotherspecifiedsources[164].−Holdingsmustcontributeaminimumof1,250,000,000 to the capital of the Initial Borrower[181]. - The cumulative amount of Excess Cash Flow for fiscal years after the Closing Date is considered in determining the Available Amount[166]. - The definition of "Base Rate" includes the highest of several rates, including the Federal Funds Effective Rate plus 0.5%[171]. - The "Benchmark" for amounts denominated in Dollars is initially set as Term SOFR[173]. - The "Benchmark Replacement" will be determined based on market conventions and may include adjustments[174]. - The "Bail-In Action" refers to the exercise of write-down and conversion powers by the applicable resolution authority[168]. - "Capital Expenditures" include net additions to property, plant, and equipment as per GAAP[194]. - The "Business Day" is defined as any day other than weekends or holidays when banks are closed[187]. - The "Beneficial Ownership Certification" is required under the Beneficial Ownership Regulation[178]. Acquisitions and Control - The Chubb Group Acquisition involves the acquisition of Chubb Limited and its subsidiaries by the company from Carrier Investments UK Limited[199]. - The Chubb Acquisition Agreement was dated July 26, 2021, and includes multiple parties such as Carrier Global Corporation and Chubb Limited[199]. - The company has defined "Change of Control" events that could impact its equity securities and subsidiaries[198]. - The company emphasizes the importance of maintaining Wholly-Owned Restricted Subsidiaries to avoid triggering Change of Control events[198]. - The company has outlined the implications of a "Change of Control" on its indebtedness and the potential for early repayment or redemption[198].
APi (APG)2025-02-26 12:47