JBS USA Eases Loan Terms

US - Beef and pork processor JBS USA has successfully closed on an amendment to its Term Loan due 2018, which eases the terms of the loan by more than $2 million a year.
calendar icon 27 February 2013
clock icon 2 minute read

The deal reduces the pricing under this loan to LIBOR + 275 basis points with a 100 basis points LIBOR floor.

This is effectively a 50 basis points reduction in pricing compared to the prior pricing of LIBOR + 300 basis points with a 125 basis points LIBOR floor and will save JBS USA up to approximately $2.3 million per year in interest expense.

Due to strong market conditions and lenders’ favourable view of the company’s credit profile, the amendment was oversubscribed allowing JBS USA to roll the full term loan balance which is currently approximately $468 million.

JBS USA, a leading producer of beef and pork products in the US and Canada and a leader in beef and lamb production in Australia, is a wholly owned indirect subsidiary of JBS SA, the world largest meat producer.

© 2000 - 2024 - Global Ag Media. All Rights Reserved | No part of this site may be reproduced without permission.