Summary
Marsh & McLennan Companies, Inc. (MRSH) has announced the establishment of a new, larger revolving credit facility. On June 2, 2026, the company entered into an Amended and Restated 5 Year Credit Agreement, replacing its previous facility. This new facility increases the aggregate borrowing capacity to $4.25 billion, up from $3.5 billion, and extends the term to June 2031. The facility is unsecured and multi-currency, with interest rates tied to Term SOFR plus a margin that varies with the company's credit ratings. This refinancing demonstrates the company's proactive approach to managing its liquidity and capital structure. The increased credit line provides enhanced financial flexibility for potential future investments, acquisitions, or other strategic initiatives. Investors should note that the facility requires the company to maintain specific coverage and leverage ratios, which will be tested quarterly, indicating a continued focus on financial discipline and creditworthiness.
Key Highlights
- 1Company entered into a new $4.25 billion unsecured, multi-currency revolving credit facility, maturing in June 2031.
- 2The new facility represents an increase from the previous $3.5 billion facility.
- 3Interest rates are based on Term SOFR plus a margin that fluctuates with Marsh & McLennan's credit ratings.
- 4The agreement requires the company to maintain certain coverage and leverage ratios tested quarterly.
- 5The new credit facility was entered into on June 2, 2026, and terminates the prior $3.5 billion facility.
- 6Citibank, N.A. continues to serve as the administrative agent for the credit facility.