SunGard, one of the world's leading software and IT services companies, today announced that it has completed an amendment of its existing senior secured credit facility.
- Extends the maturity date of $2.5 billion of its dollar-denominated term loans, £40 million of pound sterling-denominated term loans, and €120 million of euro-denominated term loans from 2014 to 2016;
- Reduces its revolving credit commitments by $171 million to $829 million while extending the maturity date on $580 million from 2011 to 2013.
- Revises certain covenants to provide further flexibility and capacity for continued investments.
Cristóbal Conde, president and chief executive officer, commented, "This transaction is consistent with our ongoing efforts since our LBO to proactively manage our capital structure and to take advantage of opportunities in the capital markets as they arise. Smoothing out our debt maturity profile and revising our covenants also increases our flexibility for future acquisitions and investments. We are pleased that so many of our important customers participated in the transaction and we thank them for their support and the trust they place in us."
J.P. Morgan Securities Inc. acted as lead bookrunner and sole lead arranger; Banc of America Securities LLC, Barclays Capital Inc., Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Royal Bank of Canada and Sumitomo Mitsui Banking Corporation acted as joint bookrunners.
Since the LBO in August 2005, SunGard has steadily deleveraged through growth, reducing the ratio of total debt to adjusted EBITDA from 6.6 times to 5.0 times as of March 31, 2009.