Summary
TransDigm Group Incorporated (TDG) filed an 8-K on June 18, 2013, announcing significant amendments to its senior secured credit facilities. The key development is the plan to facilitate a special dividend, estimated between $1 billion and $1.8 billion. This move signals a substantial return of capital to shareholders, funded through debt. Additionally, the company intends to increase its existing senior secured term facility by $700 million and adjust certain covenant ratios. The filing also provides pro forma revenue and EBITDA contributions from recent acquisitions and divestitures, including Arkwin Industries, Inc. and Aerosonic Corporation, for the twelve-month period ended March 30, 2013. Investors should note that the information provided is for disclosure purposes and not considered 'filed' under Section 18 of the Exchange Act.
Key Highlights
- 1Announcement of plans to amend senior secured credit facilities.
- 2Intention to issue a special dividend ranging from $1 billion to $1.8 billion.
- 3Proposed increase of $700 million to the existing senior secured term facility.
- 4Modification of certain covenant ratios within the senior secured credit facility.
- 5Disclosure of pro forma revenue of approximately $125 million from recent acquisitions and divestitures.
- 6Disclosure of pro forma EBITDA As Defined of approximately $27 million from recent acquisitions and divestitures.
- 7Information furnished under Regulation FD, not deemed 'filed' for Section 18 purposes.