Summary
Blackstone Inc. (BX) filed an 8-K on September 6, 2016, reporting on the amendment and restatement of its $1.50 billion revolving credit facility as of August 31, 2016. This facility involves Blackstone Holdings Finance Co. L.L.C. as the borrower and several Blackstone Holdings entities as guarantors, with Citibank, N.A. acting as the administrative agent and lender. This refiling of a material definitive agreement is primarily administrative, updating the terms of their existing credit line. The key changes include an extension of the maturity date to August 31, 2021, and more favorable pricing based on corporate ratings. The facility also sees an increased swingline loan sub-limit and a larger accordion feature, allowing for potential expansion. Notably, the definition of "Combined EBITDA" has been updated to include certain incentive carry from "business development company" and "real estate investment trust" structures. The facility remains unsecured and includes customary covenants such as a maximum net leverage ratio and a minimum fee-generating AUM requirement.
Key Highlights
- 1Amendment and restatement of a $1.50 billion revolving credit facility.
- 2Maturity date extended from May 29, 2019, to August 31, 2021.
- 3Updated corporate ratings-based pricing grid for potentially lower interest rates and commitment fees.
- 4Increased swingline loan sub-limit from $25 million to $100 million.
- 5Enhanced accordion feature allowing for up to $2.00 billion in total commitments (an increase of $400 million).
- 6Definition of "Combined EBITDA" expanded to include specific incentive carry.
- 7The credit facility remains unsecured and includes standard financial covenants like maximum net leverage ratio and minimum fee-generating AUM.