Allegion Completes Refinancing of Senior Credit Facility

Rhea-AI Summary

Allegion plc (NYSE: ALLE) has finalized the refinancing of its senior unsecured credit facility. The new five-year facility includes $250 million in term loans and $500 million in revolving loans, with initial borrowings effective as of November 18, 2021. This refinancing maintains investment grade terms akin to the prior facility. The new loans will mature and terminate on November 18, 2026. The company emphasizes that these changes will provide operational flexibility amidst ongoing global challenges, including the impacts of the COVID-19 pandemic and supply chain disruptions.

Positive

• Secured $250 million in term loans and $500 million in revolving loans.
• Investment grade terms similar to previous credit facility.
• New facility enhances operational flexibility in current challenging economic environment.

Negative

• Potential risks from global economic challenges including COVID-19 impacts and supply chain issues.

DUBLIN--(BUSINESS WIRE)-- Allegion plc (NYSE: ALLE), a leading global provider of security products and solutions, has successfully completed the refinancing of its existing senior unsecured credit facility.

The new five-year credit facility is unsecured, has investment grade terms similar to the credit facility it replaces and provides Allegion with $250 million of term loans and $500 million of commitments for revolving loans – a portion of which may be used for letters of credit and swingline loans. The initial outstanding borrowing under the new credit facility, as of the closing on Nov. 18, 2021, replaced the outstanding borrowings under the existing senior unsecured credit facility.

The new revolving facility, including the letters of credit and swingline loans, may be incurred in U.S. Dollars, Euros and Pounds Sterling. Loans under the new term loan facility will mature, and commitments under the new revolving facility will terminate on Nov. 18, 2026.

Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934, including statements regarding the continued impacts of the global COVID-19 pandemic, supply chain constraints, electronic component and labor shortages, inflation, rising freight and material costs, the company's 2021 financial performance, the company’s business plans and strategy, the company’s growth strategy, the company’s capital allocation strategy, the company’s tax planning strategies and the performance of the markets in which the company operates. These forward-looking statements generally are identified by the words “believe,” “project,” “expect,” “anticipate,” “estimate,” “forecast,” “outlook,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “will continue,” “will likely result” or the negative thereof or variations thereon or similar expressions generally intended to identify forward-looking statements. Forward-looking statements may relate to such matters as projections of revenue, margins, expenses, tax provisions, earnings, cash flows, benefit obligations, dividends, share purchases or other financial items; any statements of the plans, strategies and objectives of management for future operations, including those relating to any statements concerning expected development, performance or market share relating to our products and services; any statements regarding future economic conditions or our performance; any statements regarding pending investigations, claims or disputes; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. These statements are based on the company's currently available information and our current assumptions, expectations and projections about future events. They are subject to future events, risks and uncertainties - many of which are beyond the company’s control - as well as potentially inaccurate assumptions, that could cause actual results to differ materially from those in the forward-looking statements. Further information on these factors and other risks that may affect the company's business is included in filings it makes with the Securities and Exchange Commission from time to time, including its Form 10-K for the year ended Dec. 31, 2020, Form 10-Q for the quarters ended March 31, 2021, June 30, 2021, and Sept. 30, 2021, and in its other SEC filings. The company undertakes no obligation to update these forward-looking statements.

About Allegion
Allegion (NYSE: ALLE) is a global pioneer in seamless access, with leading brands like CISA®, Interflex®, LCN®, Schlage®, SimonsVoss® and Von Duprin®. Focusing on security around the door and adjacent areas, Allegion secures people and assets with a range of solutions for homes, businesses, schools and institutions. Allegion had $2.7 billion in revenue in 2020, and its security products are sold around the world.

For more, visit www.allegion.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211119005207/en/

Allegion Media Contact:

Whitney Moorman – Reputation Management Leader

317-810-3241

Whitney.Moorman@allegion.com

Allegion Analyst Contact:

Tom Martineau – Vice President, Investor Relations, and Treasurer

317-810-3759

Tom.Martineau@allegion.com

Source: Allegion plc

FAQ

What did Allegion (NYSE: ALLE) announce in their recent press release?

Allegion announced the completion of refinancing its senior unsecured credit facility, securing $250 million in term loans and $500 million in revolving loans.

When was Allegion's new credit facility finalized?

The new credit facility was finalized on November 18, 2021.

What are the terms of Allegion's new five-year credit facility?

The new five-year credit facility features investment grade terms similar to the previous facility, maturing on November 18, 2026.

How does the new credit facility benefit Allegion (NYSE: ALLE)?

The new credit facility enhances Allegion's operational flexibility amid ongoing global challenges such as supply chain disruptions and the COVID-19 pandemic.