Visteon Corp. increased the size of its 18-month secured term loan on the back of strong interest from the market. The facility was increased from $300 million to $350 million and replaces an existing $300 million short-term secured revolving credit facility, which expired Dec. 15 (CIN 12/19). Pricing remains the same, holding at LIBOR plus 4 1/2%. JPMorgan and Citigroup are leading the deal. Calls to a Visteon spokesman were not returned.
The company also intends to seek amendments to financial covenants contained in its existing $775 million revolver and $250 million delayed-draw term loan, both of which expire in June 2007. The amendments will help with the company's restructuring plans (12/19). In November and December, the company's delayed-draw term loan stayed level trading around 100.475-101.475, according to Markit, but had dropped slightly at the end of last month and was trading at 100.125-100.063, at press time. Its bonds had bounced around a bit (11/14), and it's 7% '14 bonds were trading at 78 1/4, up from 76 3/4, at press time.
Based in Van Buren Township, Mich., Visteon designs, engineers and manufactures climate, electronic and lighting products for vehicle manufacturers.