Coty Inc. Amends Existing Credit Agreement

Rhea-AI Summary

Coty Inc. (COTY) announced an amendment to its credit agreement to extend the maturity of a portion of its revolving loan commitments. The key highlight is the creation of a new class of revolving loan commitments totaling $700 million, set to mature in April 2025. This amendment is subject to customary closing conditions, including a requirement to reduce existing revolving loan commitments by no less than $700 million prior to September 30, 2021.

Positive

• Creation of a new class of revolving loan commitments totaling $700 million.
• Extension of maturity for part of the loan commitments to April 2025.

Negative

• Condition to reduce existing revolving loan commitments by $700 million may indicate financial strain.

Coty Inc. (NYSE: COTY) today announced it has amended its existing credit agreement to, among other things, effectively extend the maturity of a portion of its existing revolving loan commitments. The amendment creates a new class of revolving loan commitments in an aggregate principal amount of $700.0 million, which commitments will mature in April 2025. The effectiveness of such new class of commitments is conditioned upon customary closing conditions, including a reduction of existing revolving loan commitments under Coty's existing credit agreement in an amount no less than $700.0 million on or prior to September 30, 2021.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210607005212/en/

FAQ

What recent financial move did Coty Inc. (COTY) announce?

Coty Inc. announced an amendment to its credit agreement to extend the maturity of a portion of its revolving loan commitments.

How much is the new class of revolving loan commitments created by Coty Inc.?

Coty Inc. created a new class of revolving loan commitments totaling $700 million.

When do the new revolving loan commitments mature for Coty Inc.?

The new revolving loan commitments are set to mature in April 2025.

What conditions must Coty Inc. meet for the new revolving loan commitments?

Coty Inc. must reduce existing revolving loan commitments by no less than $700 million prior to September 30, 2021.