Brown-Forman enters into five-year $900 million revolving facility

By Wendy Van Sickle

Columbus, Ohio, May 30 – Brown-Forman Corp. entered into an amended and restated credit agreement on May 26 providing for a five-year $900 million revolving credit facility, according to an 8-K filing with the Securities and Exchange Commission.

U.S. Bank NA is the administrative agent. Bank of America, NA, Barclays Bank plc, Citibank NA and JPMorgan Chase Bank, NA are the co-syndication agents. Bank of Nova Scotia is documentation agent, and U.S. Bank, BofA Securities, Inc., Barclays, Citibank and JPMorgan are the joint lead arrangers and bookrunners.

The credit agreement amends and restates the existing credit agreement dated Nov. 10, 2027 that provided for an $800 million revolver that was due to expire in November 2024.

The company may request commitments for up to an additional $650 million.

Borrowings may be drawn in U.S. or Australian dollars, euros, pounds sterling or other currencies.

Borrowings bear interest at term SOFR plus an adjustment of 10 basis points plus a margin ranging from 57.5 bps to 100 bps, and the commitment fee ranges from 5 bps to 12.5 bps, both depending on the company’s ratings.

The credit agreement contains no financial covenants.

Proceeds may be used for working capital and general corporate purposes.

Brown-Forman is a Louisville, Ky.-based producer of alcoholic beverages.

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