Benzinga | Apr 14, 2021 04:27PM EDT

Cimpress Says Plans To Raise A Senior Secured Term Loan B Of Approximately $1.15B To Repay Existing Secured Debt And Bring Liquidity Onto The Balance Sheet

Cimpress plc (NASDAQ:CMPR) announced plans today to raise a senior secured Term Loan B of approximately $1.15 billion to repay existing secured debt and bring liquidity onto the balance sheet. The company is providing third quarter fiscal year 2021 preliminary results to facilitate marketing the transaction.

The secured Term Loan B is expected to consist of a $795 million USD tranche and a (euro)300 million EUR tranche, both due 2028. Cimpress plans to use the new debt to redeem all of its 12% second lien notes due 2025, repay amounts drawn under its revolving credit facility and repay all borrowings in respect of the Term Loan A under its secured credit facility. The transaction will be approximately net leverage neutral on a pro-forma basis. The second lien notes will be redeemed at the first call date in mid-May 2021. The Term Loan A will terminate and Cimpress will retain a $250 million revolving credit facility maturing in 2026.