AXALTA COATING SYSTEMS LTD. (NYSE:AXTA) Files An 8-K Entry into a Material Definitive AgreementItem 2.03. Entry into a Material Definitive Agreement.
The information required by this item is included in Item 2.03 below and is incorporated herein by reference.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.
On April 11, 2018, Axalta Coating Systems Dutch Holding B B.V. and Axalta Coating Systems U.S. Holdings, Inc. (together, the “Borrowers”), wholly owned subsidiaries of Axalta Coating Systems Ltd., entered into Amendment No. 6 (“Amendment No. 6”) to the Credit Agreement, dated as of February 1, 2013, among the Borrowers, the guarantors party thereto, the lenders from time to time party thereto and Barclays Bank PLC, as administrative agent and collateral agent, as amended (the “Credit Agreement”). to Amendment No. 6, the Borrowers incurred term loans in an amount equal to $2,430 million in order to refinance the Borrowers’ $1,955 million term loan due June 2024 and €395 million term loan due February 2023. The interest rate applicable to the new term loans is, at the Borrowers’ option, the Adjusted Eurocurrency Rate (as such term is defined in the Credit Agreement) plus 1.75% or the Base Rate (as such term is defined in the Credit Agreement) plus 0.75%. The new term loans mature in June 2024. Amendment No. 6 provides for a reset of the prepayment premium of 101% on certain prepayments and amendments of borrowings under the Credit Agreement in connection with a re-pricing event within six months of entrance into Amendment No. 6.
Concurrent with entering into Amendment No. 6, Axalta Coating Systems Dutch Holding B B.V. entered into cross currency swaps which swapped $475 million of the new term loans, which have variable interest rates, into Euro fixed rate indebtedness totaling €387.2 million at an interest rate of approximately 1.95%. The swaps mature on March 31, 2023.
This summary of Amendment No. 6 does not purport to be complete and is subject to, and qualified in its entirety by, the full text of Amendment No. 6 filed as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference.
Item 2.03. Financial Statements and Exhibits.
(d) Exhibits
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Exhibit No. |
Description |
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10.1 |
Amendment No. 6 to the Credit Agreement, dated as of April 11, 2018 among Axalta Coating Systems Dutch Holding B B.V. and Axalta Coating Systems U.S. Holdings, Inc., as Borrowers, Axalta Coating Systems U.S., Inc., Axalta Coating Systems Dutch Holding A B.V., the several banks and other financial institutions or entities from time to time parties thereto as Lenders, Barclays Bank PLC, as Administrative Agent and Collateral Agent, and the other agents and arrangers party thereto.
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Axalta Coating Systems Ltd. ExhibitEX-10.1 2 a20184108-kxexhibit101.htm EXHIBIT 10.1 Exhibit Execution VersionSIXTH AMENDMENT TO CREDIT AGREEMENTThis SIXTH AMENDMENT TO CREDIT AGREEMENT (this “Sixth Amendment”),…To view the full exhibit click here
About AXALTA COATING SYSTEMS LTD. (NYSE:AXTA)
Axalta Coating Systems Ltd. is a holding company. The Company is a manufacturer, marketer and distributor of coatings systems primarily serving the transportation industry. Its segments include Performance Coatings and Transportation Coatings. The Company, through its Performance Coatings segment, provides liquid and powder coatings solutions to a fragmented and local customer base. The Company, through its Transportation Coatings segment, provides coating technologies to original equipment manufacturers (OEMs) of light and commercial vehicles. It develops, manufactures and supplies liquid and powder coatings for a number of applications in the industrial end market. It develops, markets and supplies a portfolio of coatings systems and color matching technologies. It offers waterborne and solventborne products and systems used by the global automotive repair industry to refinish damaged vehicles. Its brands include Voltatex, Alesta, Nap-Gard, Abcite and Imron.
