On December 5, 2024, GoDaddy Inc. (GDDY, Financial) revealed a significant financial maneuver involving the allocation of a $1.463 billion tranche of term loans, set to mature in 2029. This strategic refinancing move is aimed at replacing all outstanding Tranche B-6 Term Loans under the company's Second Amended and Restated Credit Agreement.
The refinancing is being executed by Go Daddy Operating Company, LLC and GD Finance Co, LLC, collectively referred to as the "Borrowers." The Credit Agreement, which has undergone multiple amendments since its inception on February 15, 2017, involves several lending institutions and is administered by the Royal Bank of Canada, serving as the Administrative Agent, Collateral Agent, Swingline Lender, and a Letter of Credit Issuer.
This refinancing effort is part of GoDaddy's broader strategy to optimize its capital structure and improve financial flexibility. The transactions are subject to certain conditions and are expected to close in the fourth quarter of 2024. However, the company has cautioned that there is no guarantee of successful completion on the anticipated terms or timeline.
Investors and stakeholders will be closely monitoring this development, as it reflects GoDaddy's ongoing efforts to strengthen its financial position and support its long-term growth objectives. For more detailed information, interested parties are encouraged to review the full press release attached to the company's Form 8-K filing.
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