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The ABL Advisor Deal Tables
SELECTED TRANSACTION DETAILS
Denny’s in New $250MM Credit Facility, Wells Fargo and Others Lead Arrangers
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Lenders/Participants
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Wells Fargo Securities [Joint Lead Arranger, Joint Bookrunner]
Regions Capital Markets [Joint Lead Arranger, Joint Bookrunner]
GE Capital Markets Group [Joint Lead Arranger, Joint Bookrunner]
Wells Fargo Bank [Administrative Agent, L/C Agent]
Fifth Third Bank [Co-Documentation Agent]
RBS Citizens, N.A. [Co-Documentation Agent]
Cadence Bank [Co-Documentation Agent]
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Structure
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$190MM Revolver & $60MM Term Loan
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Amount
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$250.000
Million
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Borrower(s)
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Denny's Corporation
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Description
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The refinanced facility has a reduced interest rate starting at LIBOR plus 200 basis points for the term loan and revolver compared to the prior facility which had an interest rate of LIBOR plus 275 basis points. The term loan will be amortized 5% per year in the first two years, 7.5% in the subsequent two years and 10% in the fifth year with the balance due at maturity. This translates to minimum payments of $3 million to $6 million per year, compared to its old facility which had a $19 million per year amortization requirement. In addition, the Company will have the opportunity to further reduce the interest rates on the facility by achieving lower leverage ratios which would also result in further enhancing its financial flexibility.
The refinancing is expected to result in annualized interest expense savings of approximately $1.3 million. The Company estimates that the closing of its new bank facility will result in a one-time charge to other nonoperating expense of approximately $1.2 million in the second quarter of 2013, as a result of charges for the unamortized portion of deferred financing costs related to the prior facility and portion of the fees related to the new facility.
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Industry
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Restaurant
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| Related Tags |
Cadence Bank, Fifth Third, GE Capital Markets, RBS Citizens, Regions Capital Markets, Wells Fargo Bank, Wells Fargo Securities
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ABL Advisor
Deal Tables
2025
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