What new credit facilities did nVent enter into?

nVent, nVent Finance S.à r.l. and Hoffman Schroff Holdings, Inc. entered into a Second Amended and Restated Credit Agreement providing a five-year $275.0 million senior unsecured term loan facility and a five-year $600.0 million senior unsecured revolving credit facility.

What was the credit agreement used for?

Proceeds were used to repay in full all amounts outstanding under the April 26, 2023 Loan Agreement and the June 21, 2024 Term Loan Agreement, with the remainder available for general corporate purposes.

How much debt was drawn at closing?

On the effective date, after giving effect to any borrowings made that day, $275.0 million was outstanding under the term loan facility and $200.0 million under the revolving credit facility.

What financial covenants apply to the facilities?

nVent must not permit the consolidated debt (net of unrestricted cash above $5.0 million, capped at $250.0 million) to EBITDA ratio to exceed 3.75 to 1.00, or 4.25 to 1.00 for four testing periods following certain material acquisitions, and must maintain an EBITDA to consolidated interest expense ratio of at least 3.00 to 1.00.

When do the new facilities mature and how is interest priced?

The facilities mature on June 30, 2030. Borrowings bear interest at an adjusted base rate, Term SOFR, EURIBOR, SONIA or, for euro swingline loans, ESTR, plus an applicable margin based on nVent's net leverage ratio or public debt rating, at nVent Finance's election.

NVT 8-K: Material Agreements & Financial Events

01—Abstract

Summary

Summary of the 8-K filed June 30, 2025. Cited figures are marked; the original filing is the authoritative source.

On June 30, 2025, nVent Electric plc (NVT), together with its subsidiaries nVent Finance S.à r.l. and Hoffman Schroff Holdings, Inc., entered into a Second Amended and Restated Credit Agreement with a syndicate of banks.

The agreement provides a five-year $275.0 million^a senior unsecured term loan facility and a five-year $600.0 million senior unsecured revolving credit facility. It amends and restates the Amended and Restated Credit Agreement dated September 24, 2021. The company may request an additional increase or additional term loan tranches of up to $300.0 million, subject to customary conditions.

Proceeds were used to repay in full all amounts outstanding under the Loan Agreement dated April 26, 2023 and the Term Loan Agreement dated June 21, 2024, with the remainder available for general corporate purposes. On the effective date, $275.0 million^b was outstanding under the term loan and $200.0 million under the revolver. The facilities are guaranteed by nVent, bear interest at benchmark rates plus an applicable margin tied to either the net leverage ratio or public debt rating, and mature on June 30, 2030.

The facilities contain financial covenants limiting the consolidated debt to EBITDA ratio (generally 3.75 to 1.00, or 4.25 to 1.00 for four testing periods following certain material acquisitions) and requiring EBITDA to interest expense of at least 3.00 to 1.00. They also restrict liens, mergers, acquisitions and subsidiary debt, and include customary events of default.

02—Key points

Key Highlights

Entered a Second Amended and Restated Credit Agreement dated June 30, 2025 with a five-year $275.0 million senior unsecured term loan and a five-year $600.0 million senior unsecured revolving credit facility
Proceeds repaid in full the Loan Agreement dated April 26, 2023 and the Term Loan Agreement dated June 21, 2024
At the effective date, $275.0 million was outstanding under the term loan and $200.0 million under the revolving facility
Accordion feature allows up to $300.0 million of additional revolver increases or term loan tranches, subject to lender commitments
Facilities mature June 30, 2030 and are guaranteed by nVent Electric plc
Financial covenants include a maximum consolidated debt to EBITDA ratio of 3.75 to 1.00 (or 4.25 to 1.00 for four testing periods after certain material acquisitions) and a minimum EBITDA to interest expense ratio of 3.00 to 1.00
Covenants restrict liens, mergers and consolidations, acquisitions and subsidiary debt

03—Questions

Frequently Asked Questions

What new credit facilities did nVent enter into?
nVent, nVent Finance S.à r.l. and Hoffman Schroff Holdings, Inc. entered into a Second Amended and Restated Credit Agreement providing a five-year $275.0 million senior unsecured term loan facility and a five-year $600.0 million senior unsecured revolving credit facility.
What was the credit agreement used for?
Proceeds were used to repay in full all amounts outstanding under the April 26, 2023 Loan Agreement and the June 21, 2024 Term Loan Agreement, with the remainder available for general corporate purposes.
How much debt was drawn at closing?
On the effective date, after giving effect to any borrowings made that day, $275.0 million was outstanding under the term loan facility and $200.0 million under the revolving credit facility.
What financial covenants apply to the facilities?
nVent must not permit the consolidated debt (net of unrestricted cash above $5.0 million, capped at $250.0 million) to EBITDA ratio to exceed 3.75 to 1.00, or 4.25 to 1.00 for four testing periods following certain material acquisitions, and must maintain an EBITDA to consolidated interest expense ratio of at least 3.00 to 1.00.
When do the new facilities mature and how is interest priced?
The facilities mature on June 30, 2030. Borrowings bear interest at an adjusted base rate, Term SOFR, EURIBOR, SONIA or, for euro swingline loans, ESTR, plus an applicable margin based on nVent's net leverage ratio or public debt rating, at nVent Finance's election.

04—Continue

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