PARSIPPANY, N.J. – Wyndham Accommodations & Resorts, Inc. (NYSE: WH) (the “Firm”) at present introduced that it efficiently accomplished the refinancing of its beforehand excellent Senior Secured Time period Mortgage B Facility due Could 2025 (the “Time period Mortgage B due 2025”). The Firm closed on a brand new $1.1 billion Senior Secured Time period Mortgage B Facility (the “New Time period Mortgage B”), which can mature in Could 2030. The web proceeds from the New Time period Mortgage B had been used to repay all excellent principal below its Time period Mortgage B due 2025.
The New Time period Mortgage B garnered important investor demand, leading to an upsize of practically $400 million whereas in market and a lovely rate of interest of SOFR plus 2.25% (with a 0.10% credit score unfold adjustment), at a difficulty worth of 99.5%. The refinancing represented one of many largest and tightest priced syndicated leveraged mortgage issuances for any “double-B” corporate-credit rated firm so far in 2023 – indicative of the Firm’s engaging, resilient franchise enterprise mannequin. As well as, the Firm lately obtained an funding grade credit standing on its senior secured debt from Fitch Rankings Inc., and, because of this, now has the power to entry each the excessive yield and funding grade credit score markets for future financings.
We’re extraordinarily happy with the completion of our New Time period Mortgage B. Our refinancing technique prolonged our present Time period Mortgage B Facility from 2025 to 2030, transferring our subsequent materials debt maturity to 2027 and rising our weighted common maturity from 3.2 to six.0 years. With the opportunistic refinancing behind us and a franchised enterprise mannequin that’s extremely money generative, we possess important monetary flexibility to execute on our strategic goals of delivering excellent worth to our company and franchisees whereas driving robust shareholder return.Michele Allen, Chief Monetary Officer.
Deutsche Financial institution Securities Inc., JPMorgan Chase Financial institution, N.A. and BofA Securities, Inc. acted as joint lead arrangers for the New Time period Mortgage B. Barclays Financial institution PLC, U.S. Financial institution Nationwide Affiliation, Wells Fargo Financial institution, Nationwide Affiliation and Wells Fargo Securities, LLC, The Financial institution of Nova Scotia, Truist Securities, Inc., and PJT Companions LP acted as joint bookrunners.
About Wyndham Accommodations & Resorts
Wyndham Accommodations & Resorts (NYSE: WH) is the world’s largest resort franchising firm by the variety of properties, with roughly 9,100 resorts throughout over 95 international locations on six continents. By its community of roughly 845,000 rooms interesting to the on a regular basis traveler, Wyndham instructions a number one presence within the financial system and midscale segments of the lodging business. The Firm operates a portfolio of 24 resort manufacturers, together with Tremendous 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Assortment® and Wyndham®. The Firm’s award-winning Wyndham Rewards loyalty program presents roughly 101 million enrolled members the chance to redeem factors at 1000’s of resorts, trip membership resorts and trip leases globally.
Ahead-Trying Statements
This press launch incorporates “forward-looking statements” inside the which means of federal securities legal guidelines, together with statements associated to the closing of our new
Time period Mortgage B Facility and the usage of proceeds therefrom
. The Firm claims the safety of the Protected Harbor contained within the Non-public Securities Litigation Reform Act of 1995 for forward-looking statements. Ahead-looking statements embody those who convey administration’s expectations as to the long run primarily based on plans, estimates and projections on the time the Firm makes the statements and could also be recognized by phrases similar to “will,” “anticipate,” “consider,” “plan,” “anticipate,” “intend,” “purpose,” “future,” “outlook,” “steerage,” “goal,” “goal,” “estimate,” “projection” and comparable phrases or expressions, together with the detrimental model of such phrases and expressions. Ahead-looking statements contain recognized and unknown dangers, uncertainties and different elements, which can trigger the precise outcomes, efficiency or achievements of the Firm to be materially totally different from any future outcomes, efficiency or achievements expressed or implied by such forward-looking statements. You might be cautioned to not place undue reliance on these forward-looking statements, which converse solely as of the date of this press launch.
Elements that would trigger precise outcomes to vary materially from these within the forward-looking statements embody, with out limitation, basic financial situations, together with inflation, greater rates of interest and potential recessionary pressures; the worsening of the results from the coronavirus pandemic (“COVID-19”); COVID-19’s scope, length, resurgence and affect on the Firm’s enterprise operations, monetary outcomes, money flows and liquidity, in addition to the affect on the Firm’s franchisees, company and crew members, the hospitality business and general demand for and restrictions on journey the Firm’s continued efficiency in the course of the restoration from COVID-19 and any resurgence or mutations of the virus considerations with or threats of different pandemics, contagious illnesses or well being epidemics, together with the results of COVID-19; the efficiency of the monetary and credit score markets; the financial atmosphere for the hospitality business; working dangers related to the resort franchising companies; the Firm’s relationships with franchisees; the affect of struggle, terrorist exercise, political instability or political strife, together with the continued battle between Russia and Ukraine; the Firm’s means to fulfill obligations and agreements below its excellent indebtedness, together with the cost of principal and curiosity and compliance with the covenants thereunder; dangers associated to the Firm’s means to acquire financing and the phrases of such financing, together with entry to liquidity and capital; and the Firm’s means to make or pay, plans for and the timing and quantity of any future share repurchases and/or dividends, in addition to the dangers described within the Firm’s most up-to-date Annual Report on Type 10-Ok filed with the Securities and Trade Fee and any subsequent stories filed with the Securities and Trade Fee. The Firm undertakes no obligation to replace or revise any forward-looking statements, whether or not on account of new info, subsequent occasions or in any other case, besides as required by legislation.
SOURCE Wyndham Accommodations & Resorts