Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers F > Headlines for Flowers Foods, Inc. > News item |
Flowers Foods gets commitment for $300 million delayed-draw loan
By Susanna Moon
Chicago, April 8 - Flowers Foods, Inc. said it received a commitment of up to $300 million for a senior unsecured delayed-drawn term loan with Deutsche Bank AG New York Branch and Bank of America, NA as agents.
The facility will be used to help finance the acquisition of some brands and assets owned by Hostess Brands, Inc., according to a company press release.
Flowers Foods said it also amended its $500 million senior unsecured revolving loan facility and unsecured term loan to ease leverage ratios and provide more favorable covenant terms.
The amended terms also update the base forms of the agreements to address changes in law and include conforming changes in light of the new term loan, the company added.
"We are pleased to have financing in place for the pending acquisition of the Hostess bread assets. The regulatory review of the proposed acquisition is under way, and we look forward to completing the Hostess transaction once that review is completed," R. Steve Kinsey, executive vice president and chief financial officer, said in the release.
"The new term loan balances near-term and longer-term debt and will allow us to delever in keeping with our long-term financial objectives."
Flowers is a Thomasville, Ga.-based producer and marketer of packaged bakery foods for retail and foodservice customers.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.