IBP enters into new credit facility
Installed Building Products, Inc. (IBP), the building and home improvement services provider, has closed its private offering of $300 million in aggregate principal amount of 5.75% senior unsecured notes due Feb. 1, 2028.
The Columbus, Ohio-based company also reported that it has entered into a new and increased $200 million asset-based lending revolving credit facility.
The $200 million new ABL revolver matures on Sept. 26, 2024 and replaces a prior $150 million ABL revolving credit facility. There is nothing currently drawn on the new ABL revolver, the company said.
Approximately $194 million of net proceeds from the sale of the notes were used to repay a portion of borrowings under the company’s Term Loan B credit facility. The remainder is being used for general corporate purposes.
In short, IBP said the moves provide the company with “significant financial flexibility and access to capital.”
Acquisitions have been a key component to IBP’s growth strategy. Earlier this month the company purchased Northeast Spray Insulation, Inc. and Minnesota Spray-Foam Insulation. Roughly a month prior, IBP acquired Therm-Con, LLC and Foamtech, Inc.
IBP operates more than 175 branches. Along with providing insulation installation, IBP is an installer of complementary building products, including waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving and mirrors.
The Columbus, Ohio-based company also reported that it has entered into a new and increased $200 million asset-based lending revolving credit facility.
The $200 million new ABL revolver matures on Sept. 26, 2024 and replaces a prior $150 million ABL revolving credit facility. There is nothing currently drawn on the new ABL revolver, the company said.
Approximately $194 million of net proceeds from the sale of the notes were used to repay a portion of borrowings under the company’s Term Loan B credit facility. The remainder is being used for general corporate purposes.
In short, IBP said the moves provide the company with “significant financial flexibility and access to capital.”
Acquisitions have been a key component to IBP’s growth strategy. Earlier this month the company purchased Northeast Spray Insulation, Inc. and Minnesota Spray-Foam Insulation. Roughly a month prior, IBP acquired Therm-Con, LLC and Foamtech, Inc.
IBP operates more than 175 branches. Along with providing insulation installation, IBP is an installer of complementary building products, including waterproofing, fire-stopping, fireproofing, garage doors, rain gutters, window blinds, shower doors, closet shelving and mirrors.