Revlon amends credit agreement to add $50 million of FILO loans

By Wendy Van Sickle

Columbus, Ohio, Oct. 23 – Revlon, Inc.’s wholly owned operating subsidiary, Revlon Consumer Products Corp., entered into a fifth amendment to its asset-based revolving credit agreement originally dated Sept. 7, 2016 on Friday to add a new tranche B of $50 million of first-in, last-out term loans, according to an 8-K filing with the Securities and Exchange Commission.

The amendment also requires the borrower to maintain excess availability of at least $85 million until the transactions contemplated by an exchange offer for any and all of its outstanding $342,785,000 5¾% senior notes due Feb. 15, 2021 are completed.

The borrower repaid $10 million of tranche A borrowings.

On the date of the consummation of the exchange offer, as-adjusted liquidity must be at least $175 million.

Also, a reserve of $30 million will be automatically established against the tranche A borrowing base if the results of ongoing appraisals and field exams are not delivered to the administrative agent prior to the occurrence of certain specified defaults.

The tranche B term loans will be provided to eligible holders of the senior notes who participate in the exchange offer and will bear interest at Libor plus 850 basis points with a 1.75% Libor floor.

The tranche B loans will mature six months after the tranche A loans.

Alter Domus (US) LLC is the administrative agent for the tranche B term loan facility.

Revlon is a New York-based cosmetics company.

© 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.