Loan & DebtJul 10, 2026, 04:33 PM
Dana Secures $500M Delayed Draw Term Loan to Redeem 2031 Notes
AI Summary
Dana Incorporated has secured a new $500.0 million senior secured delayed draw term loan A facility through an amendment to its Credit and Guaranty Agreement. The company intends to use the proceeds from this facility to redeem all outstanding 8.500% Senior Notes due 2031. The new facility matures 364 days after borrowing and requires quarterly amortization payments of 10% of the principal, starting December 31, 2026.
Key Highlights
- Dana entered into Amendment No. 8 for a new $500.0 million senior secured delayed draw term loan A facility.
- The facility will be used for general corporate purposes, including repayment of 2031 Notes.
- The Delayed Draw Term Loan A Facility matures 364 days after borrowing.
- Interest accrues at the same rate as Revolving Credit Advances under the Credit Agreement.
- Quarterly amortization payments of 10% of the principal begin December 31, 2026.
- Dana expects to draw the full amount to redeem 8.500% Senior Notes due 2031.
- The redemption price for the 2031 Notes is 104.250% of principal plus accrued interest.
Price Impact
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