Teledyne enters into two three-year term loans totaling $200 million

By Marisa Wong

Madison, Wis., Oct. 23 - Teledyne Technologies Inc. borrowed $200 million in the form of two $100 million unsecured term loans, one from Bank of America, NA and the other from U.S. Bank, NA, according to an 8-K filing with the Securities and Exchange Commission.

Teledyne entered into the two loan agreements on Oct. 22.

Subsidiaries Teledyne Brown Engineering, Inc., Teledyne Instruments, Inc., Teledyne Scientific & Imaging, LLC and Teledyne LeCroy, Inc. are the guarantors.

The term loans mature on Oct. 22, 2015 and are subject to annual amortization of 5%, payable quarterly beginning with the fourth fiscal quarter of 2013, with the aggregate outstanding principal due and payable on the maturity date.

Interest is equal to Libor plus an applicable rate based on the company's consolidated leverage ratio. The spread for both loans ranges from 125 basis points to 137.5 bps.

The company used proceeds of the term loans to retire debt - consequently increasing the borrowing capacity - under its existing revolving credit facility dated Feb. 25, 2011.

The new loans contain covenants identical to those of the existing revolver as well as certain events of default.

Teledyne is a Thousand Oaks, Calif.-based technology provider.

© 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.