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BRP Completes Refinancing of its Credit Facilities

BRP Inc., a manufacturer of all-terrain vehicles, snowmobiles, and marine crafts, has completed the refinancing of its credit facilities, the OEM announced.

A credit facility is an overall credit line that can be broken into multiple credit lines and collateral. It’s often used by businesses¬†to provide capital for multiple purposes and time frames without the need to structure a loan for each one.

BRP has two credit facilities: a term loan facility and a revolving credit facility. Following BRP’s refinancing, the principal amount advanced under the term loan facility was increased to $900 million from $789 million. The revolving credit facility was increased to $575 million from $475 million.

The loan facility and the revolving credit facility had their maturity date extended for two more years until 2025 and 2023, respectively.

The term facility was incurred at an original issue price of 99.75% and pricing was reduced by 50 basis points while the revolving credit facility is subject to a 25 basis points reduction in pricing. Other amendments made to the terms of the agreements provide additional flexibility for BRP and its operations.

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As Associate Editor of Powersports Finance, Matt Wood reports on the latest developments and trends of the powersports finance world, from innovation to new partnerships. He's also a movie/TV show buff and is willing to argue about Lost anytime. Former bylines include Scout Media and CinemaBlend.

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