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LEXINGTON, Ky. – Tempur Sealy International has refinanced its credit lines with 13 different lenders that includes a $1.15 billion revolving credit facility, a $500 million term loan facility and an incremental facility that allows up to $850 million and additional amounts.
Scheduled to mature in five years on Oct. 10, 2028, the new credit agreement refinances the company’s existing credit lines dated Oct. 16, 2019, administered through JPMorgan Chase Bank.
“We are very pleased with the refinancing of our credit facilities,” said Scott Thompson, chairman and CEO. “With this refinancing, we have meaningfully extended our debt maturities, improved our financial flexibility and increased our potential total senior credit funding while maintaining our current cost of funds in what is clearly a tight commercial banking market.”
In addition to Bank of America, the other lenders are JPMorgan Chase Bank; Wells Fargo Bank; Sumitomo Mitsui Banking Corp.; Truist Bank; HSBC Bank in the U.K. and the U.S.; the Bank of Nova Scotia; TD Bank; Mizuho Bank; Fifth Third Bank; Goldman Sachs Bank; Capital One National Assn.; and Pinnacle Bank.
“We appreciate the strong support from the 13 market-leading lenders who participated in the financing of these facilities,” Thompson said. “The transaction was substantially over-subscribed, evidencing support for our strategic vision.”
In its most recent earnings results, the company reported net sales of $1.27 million and net income of $92.4 million for the second quarter.
The company has agreed to acquire Mattress Firm, its largest retail customer, in a $4 billion deal expected to close next year.
