HanesBrands amends revolver, lifting size and pushing out maturity

By Sara Rosenberg

New York, July 24 - HanesBrands amended its revolving credit facility, increasing the size to $1.1 billion from $600 million and extending the maturity to July 23, 2018, according to an 8-K filed with the Securities and Exchange Commission on Wednesday.

Also, pricing was reduced by 25 basis points across the leverage-based grid, and the unused fee was trimmed to a range of 25 bps to 35 bps from a range of 30 bps to 40 bps. The spread on the revolver can now range from Libor plus 150 bps to Libor plus 225 bps.

Lenders received a 10 bps amendment fee.

JPMorgan Chase Bank is the administrative agent on the deal.

The amendment was completed on July 23.

The company plans on using borrowings under the revolver and cash on hand to fund its acquisition of Maidenform Brands Inc. for $23.50 per share, or about $575 million.

Closing is expected in the fourth quarter, subject to Maidenform shareholder approval, regulatory approval and other customary conditions.

After the transaction closes, HanesBrands' pro forma projected annual revenue would be more than $5 billion.

HanesBrands is a Winston Salem, N.C.-based marketer of everyday basic apparel. Maidenform is an Iselin, N.J.-based intimate apparel company.

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