M
ME NEWS
25 Jun 2025, 08:59
Jabil Inc. (NYSE: JBL) entered into a new $3.2 billion senior unsecured revolving credit facility on June 18, 2025, replacing its previous credit agreement from 2020. Key highlights include:
Term: 5 years, with options for unlimited one-year extensions (subject to lender approval), keeping total tenor under five years.
Potential Upsize: The facility may be increased by up to $1.0 billion.
Currencies Available: U.S. Dollars, Euros, Yen, and other approved currencies.
Interest Rates: Tied to Jabil’s unsecured debt ratings; currently, 0.075% above base rate or 1.075% above benchmark rate.
Base Rate Definition: Greater of Citibank base rate, 0.50% above fed funds, or 1.0% above Term SOFR.
Benchmark Rate Options: Term SOFR, EURIBOR, TIBOR, Daily Simple SOFR, etc.
The agreement includes customary covenants and default provisions. The facility was undrawn at signing.
Jabil terminated its previous $3.2 billion credit agreement dated January 22, 2020, with no early termination penalties.
Lender relationships: Many participating banks also have other financial service relationships with Jabil, including FX, derivatives, and trust services.
Term: 5 years, with options for unlimited one-year extensions (subject to lender approval), keeping total tenor under five years.
Potential Upsize: The facility may be increased by up to $1.0 billion.
Currencies Available: U.S. Dollars, Euros, Yen, and other approved currencies.
Interest Rates: Tied to Jabil’s unsecured debt ratings; currently, 0.075% above base rate or 1.075% above benchmark rate.
Base Rate Definition: Greater of Citibank base rate, 0.50% above fed funds, or 1.0% above Term SOFR.
Benchmark Rate Options: Term SOFR, EURIBOR, TIBOR, Daily Simple SOFR, etc.
The agreement includes customary covenants and default provisions. The facility was undrawn at signing.
Jabil terminated its previous $3.2 billion credit agreement dated January 22, 2020, with no early termination penalties.
Lender relationships: Many participating banks also have other financial service relationships with Jabil, including FX, derivatives, and trust services.