Triton International Limited (NYSE:TRTN), a global leader in container leasing, announced significant changes to its financial arrangements on Monday. The Bermuda-based company entered into an amended and restated credit agreement, adding a $1.75 billion term loan and extending the maturity date of its existing credit facility to July 9, 2029.
The new term loan replaces a previous agreement with PNC Bank, which Triton has fully repaid and terminated. The repayment amount for the PNC term loan stood at approximately $1.4 billion at the time of settlement.
The revamped credit agreement continues to include a $2.0 billion revolving loan facility and introduces a more flexible interest rate structure, transitioning from Term SOFR to Daily Simple SOFR, with margins adjusted based on Triton's senior unsecured debt ratings.
Moreover, the amended agreement allows for an expansion of the borrowing capacity with an increased accordion feature from $500 million to $1.0 billion, subject to the company's total debt ratio and other terms.
Following the amendment, Triton reported an outstanding principal amount of $1.75 billion under the term loan and $575 million under the revolving facility.
The company's strategic financial move aims to optimize its capital structure and enhance liquidity. The full text of the credit agreement will be filed with Triton's upcoming Quarterly Report on Form 10-Q for the quarter ending June 30, 2024.
This financial maneuver is based on a press release statement and reflects the company's proactive approach to managing its financial obligations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.