84 Lumber Continues Financial Restructuring with $700M Loan
Originally published by: ABF Journal — November 1, 2016
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84 Lumber closed on a new $350 million senior secured term loan B and refinanced its existing credit facility with a new $350 million asset-based revolving credit facility. The term loan B and ABL revolver mature on October 25, 2023 and October 25, 2021, respectively.
84 Lumber intends to use the proceeds to refinance a sale-leaseback agreement consisting of a portfolio of 109 properties, repay the existing ABL facility and pay fees and expenses related to the transaction. The transaction provides the company with operational and financial flexibility to reinvest in the business and pursue targeted, organic growth.
“Through this refinancing, we are able to capitalize on growing customer demand by deliberately investing in and enhancing our product and service capabilities,” said Maggie Hardy Magerko, 84 Lumber’s president and owner.
Wells Fargo Securities was the left lead arranger and bookrunner. PNC Capital Markets served as a joint lead arranger and joint bookrunner.