ORLANDO, Florida, 23 November 2021 / PRNewswire / – Tupperware Brands Corporation (NYSE: TUP), one of the world’s leading consumer products companies, today announces that it has successfully raised $ 880 million into a new secured credit facility (the “New Facility”) to refinance its existing credit facilities (the “Transaction”).
Strengths of the new installation:
- Reduces the interest rate on term loans by more than 6 percentage points
- Extends the maturity of the 2.5-year credit facility to 2026
- Increases liquidity by approximately $ 100 million
- Fully prepaid at any time
- Resets and simplifies financial covenants to improve operating flexibility and capital allocation
The new facility consists of a period of five years, $ 480 million Revolving credit facility, and a term of five years, $ 400 million Term loan. The New Facility bears interest at LIBOR plus 200 basis points. The operation lowers the company’s cost of capital, extends maturity, resets financial covenants to improve operational flexibility, and increases liquidity through a higher level of gun capacity.
“We are delighted to have refinanced our credit facility on such attractive terms,” said Sandra harris, chief financial officer and operations manager of Tupperware Brands. “This transaction is another tangible example of the fundamental improvements we have made to the business over the past eighteen months, and represents another important milestone in Tupperware’s ongoing turnaround plan. Our new credit facility improves our financial flexibility and is consistent with our strategy to optimize the Company’s capital structure while supporting future growth. “
The term loan includes a tranche of 176 million euros, which aligns with the Company’s international commercial footprint, its operational needs and the evolution of its tax strategy. Together with a lower absolute debt amount, the new facility is expected to reduce the overall net interest expense of the company and support earnings growth going forward.
Wells Fargo Securities, BMO Capital Markets, Fifth Third Bank and Truist Securities acted as Joint Principal Arrangers and Joint Bookkeepers on the New Facility. Wells Fargo Bank is the administrative agent, Swingline lender and issuing bank for the new facility, with BMO Harris Bank, Fifth Third Bank and Truist Bank as syndication agents. Additional details on the new facility can be found in Form 8-K filed today with the Securities and Exchange Commission.
About Tupperware Brands Corporation
Tupperware Brands Corporation (NYSE: TUP) is a leading global consumer products company that designs innovative, functional, and eco-friendly products that people love and trust. Founded in 1946, Tupperware’s iconic container created the modern food storage category that revolutionized the way the world stores, serves and prepares food. Today, this iconic brand owns more than 8,500 functional and utility design patents for solution-oriented kitchen and home products. In order to nurture a better future, Tupperware® The products are an alternative to single use items. The Company distributes its products in nearly 70 countries primarily through independent representatives around the world. For more information, visit Tupperwarebrands.com or follow Tupperware on Facebook, Instagram, LinkedIn and Twitter.
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SOURCE Tupperware Brands Corporation