01—Abstract
Summary
Summary of the 8-K filed April 29, 2024. Cited figures are marked; the original filing is the authoritative source.
SS&C Technologies Holdings, Inc. (SSNC) disclosed in this Form 8-K, filed under Item 8.01 (Other Events), that it intends for one of its subsidiaries to borrow up to $2,775 milliona in aggregate principal amount of incremental term B-8 loans under its existing amended and restated credit agreement dated April 16, 2018.
The borrower is SS&C Technologies, Inc., with SS&C Financing LLC, SS&C European Holdings SARL and SS&C Technologies Holdings Europe SARL named in the agreement. The announcement is subject to market and other conditions. The company expects to use the net proceeds, together with net proceeds of other unsecured debt and cash on hand, to repay all amounts owed under the term B-3, term B-4 and term B-5 loans under the Credit Agreement, along with related fees and expenses.
The transactions are anticipated to close in the second quarter of 2024, though the company states there can be no assurance they will be completed on the terms described or at all. For investors, the filing is a refinancing announcement rather than a change in operating results. It replaces existing term loan tranches with new term B-8 debt in the stated amount, and the filing does not describe pricing, maturity or interest terms.
02—Key points
Key Highlights
- SS&C Technologies, Inc. intends to borrow up to $2,775 million in incremental term B-8 loans under its existing Credit Agreement dated April 16, 2018.
- Net proceeds, together with other unsecured debt and cash on hand, are expected to repay all amounts owed under the term B-3, term B-4 and term B-5 loans.
- Related fees and expenses will also be paid from the transaction proceeds and other sources.
- The transactions are subject to market and other conditions and are anticipated to close in the second quarter of 2024.
- The company cautions that there can be no assurance the transactions will be completed on the terms described or at all.
- The announcement was made via press release dated April 29, 2024, filed as Exhibit 99.1, titled 'SS&C Announces $2,775 Million Refinancing of Term Loans.'
- The filing includes forward-looking statements, with risks discussed in the company's most recent Form 10-K and Form 10-Q.
03—Questions
Frequently Asked Questions
How much debt is SS&C planning to raise in this refinancing?
The filing states that a subsidiary intends to borrow up to $2,775 million in aggregate principal amount of incremental term B-8 loans under the existing Credit Agreement, subject to market and other conditions.
What will the proceeds be used for?
SS&C Technologies, Inc. expects to use the net proceeds, together with net proceeds of other unsecured debt and cash on hand, to repay all amounts owed under the term B-3, B-4 and B-5 loans under the Credit Agreement, as well as related fees and expenses.
When is the transaction expected to close?
The transactions are anticipated to close in the second quarter of 2024, subject to conditions.
Is the refinancing guaranteed to be completed?
No. The company states there can be no assurance that it will successfully complete the transactions on the terms described above, or at all.
Does this filing report new financial results?
No. The filing is an Item 8.01 Other Events disclosure announcing the intended borrowing and debt repayment; it does not present financial results, pricing, or maturity terms for the new loans.
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