FirstService Increases Credit Facility to US$1.75 Billion
FirstService (FSV) has announced the expansion and extension of its unsecured revolving credit facility to US$1.75 billion, up from US$1.25 billion, with a new five-year term maturing in February 2030. The facility includes an option to increase by an additional US$250 million under the same terms.
The credit facility, which was substantially oversubscribed by a syndicate of 11 banks led by The Toronto-Dominion Bank, will be used for working capital, general corporate purposes, and funding future tuck-under acquisitions. Combined with US$185 million in outstanding private long-term senior notes, this financing maintains FirstService's strong, investment-grade balance sheet.
FirstService generates over US$5.2 billion in annual revenues and employs approximately 30,000 people across North America through its two main platforms: FirstService Residential and FirstService Brands.
FirstService (FSV) ha annunciato l'espansione e l'estensione della sua linea di credito revolving non garantita a 1,75 miliardi di dollari USA, rispetto a 1,25 miliardi di dollari USA, con un nuovo termine di cinque anni che scadrà a febbraio 2030. La linea di credito include un'opzione per aumentare di ulteriori 250 milioni di dollari USA alle stesse condizioni.
La linea di credito, che è stata sostanzialmente sovrascritta da un sindacato di 11 banche guidato da The Toronto-Dominion Bank, sarà utilizzata per capitale circolante, scopi aziendali generali e finanziamento di future acquisizioni. Combinata con 185 milioni di dollari USA in note senior private a lungo termine, questo finanziamento mantiene il forte bilancio di FirstService, di grado investimento.
FirstService genera oltre 5,2 miliardi di dollari USA di ricavi annuali e impiega circa 30.000 persone in Nord America attraverso le sue due principali piattaforme: FirstService Residential e FirstService Brands.
FirstService (FSV) ha anunciado la expansión y extensión de su línea de crédito revolving no garantizada a 1,75 mil millones de dólares estadounidenses, en comparación con 1,25 mil millones de dólares estadounidenses, con un nuevo plazo de cinco años que vence en febrero de 2030. La línea de crédito incluye una opción para aumentar en otros 250 millones de dólares estadounidenses bajo los mismos términos.
La línea de crédito, que fue sustancialmente sobre suscrita por un sindicato de 11 bancos liderado por The Toronto-Dominion Bank, se utilizará para capital de trabajo, fines corporativos generales y financiamiento de futuras adquisiciones. Combinada con 185 millones de dólares estadounidenses en notas senior privadas a largo plazo, este financiamiento mantiene el sólido balance de FirstService, de grado de inversión.
FirstService genera más de 5,2 mil millones de dólares estadounidenses en ingresos anuales y emplea a aproximadamente 30,000 personas en América del Norte a través de sus dos principales plataformas: FirstService Residential y FirstService Brands.
퍼스트서비스 (FSV)는 무담보 회전 신용 한도를 17억 5천만 달러로 확장하고 연장했다고 발표했습니다. 이는 12억 5천만 달러에서 증가한 것으로, 2030년 2월에 만료되는 새로운 5년 기한을 가지고 있습니다. 이 신용 한도는 동일한 조건으로 추가로 2억 5천만 달러를 증가시킬 수 있는 옵션을 포함하고 있습니다.
이 신용 한도는 The Toronto-Dominion Bank가 이끄는 11개 은행의 신디케이트에 의해 상당히 초과 신청되었으며, 운영 자본, 일반 기업 용도 및 향후 인수 자금 조달에 사용될 것입니다. 1억 8500만 달러의 장기 민간 선순위 채권과 결합하여, 이 자금 조달은 퍼스트서비스의 강력한 투자 등급 대차대조표를 유지합니다.
퍼스트서비스는 연간 52억 달러 이상의 수익을 창출하며, 북미 전역에서 약 3만 명의 직원을 고용하고 있습니다. 주요 플랫폼은 퍼스트서비스 레지덴셜과 퍼스트서비스 브랜드입니다.
FirstService (FSV) a annoncé l'expansion et l'extension de sa ligne de crédit revolving non garantie à 1,75 milliard de dollars américains, contre 1,25 milliard de dollars américains, avec un nouveau terme de cinq ans qui arrivera à échéance en février 2030. La ligne de crédit comprend une option d'augmentation de 250 millions de dollars américains supplémentaires aux mêmes conditions.
La ligne de crédit, qui a été substantiellement sursouscrite par un syndicat de 11 banques dirigé par la Toronto-Dominion Bank, sera utilisée pour le fonds de roulement, des fins d'entreprise générales et le financement de futures acquisitions. Combiné avec 185 millions de dollars américains en obligations senior privées à long terme, ce financement maintient le solide bilan de FirstService, de catégorie investissement.
FirstService génère plus de 5,2 milliards de dollars américains de revenus annuels et emploie environ 30 000 personnes en Amérique du Nord à travers ses deux principales plateformes : FirstService Residential et FirstService Brands.
FirstService (FSV) hat die Erweiterung und Verlängerung seiner unbesicherten revolvierenden Kreditfazilität auf 1,75 Milliarden US-Dollar bekannt gegeben, ein Anstieg von 1,25 Milliarden US-Dollar, mit einer neuen fünfjährigen Laufzeit, die im Februar 2030 fällig wird. Die Fazilität umfasst die Option, um weitere 250 Millionen US-Dollar unter den gleichen Bedingungen zu erhöhen.
Die Kreditfazilität, die von einem Konsortium von 11 Banken, angeführt von der Toronto-Dominion Bank, erheblich überzeichnet wurde, wird für Betriebskapital, allgemeine Unternehmenszwecke und die Finanzierung zukünftiger Übernahmen verwendet. Zusammen mit 185 Millionen US-Dollar an ausstehenden privaten langfristigen Senior Notes erhält FirstService eine starke, investmentgradige Bilanz.
FirstService erzielt jährlich über 5,2 Milliarden US-Dollar Umsatz und beschäftigt rund 30.000 Mitarbeiter in Nordamerika über seine beiden Hauptplattformen: FirstService Residential und FirstService Brands.
- Credit facility increased by US$500M to US$1.75B
- Option to increase facility by additional US$250M
- Extended maturity to 2030 from 2027
- Facility was substantially oversubscribed
- Maintains investment-grade balance sheet
- Increased debt exposure and financial obligations
- Higher potential interest expenses
Insights
FirstService's expansion of its credit facility from
The timing of this refinancing is strategic - executing two years ahead of the previous facility's expiration suggests management is capitalizing on favorable credit conditions while securing long-term capital access. For a company with
FirstService has historically grown through "tuck-under acquisitions" - smaller, complementary businesses that integrate into their existing operational platforms. This expanded facility likely indicates an acceleration of this strategy, particularly important in the fragmented property services sector where scale advantages are significant.
The syndicate's expansion to 11 major banks (including TD, JP Morgan, and Bank of America) further validates FirstService's investment-grade profile. When combined with their
For investors, this facility expansion suggests management anticipates substantial growth opportunities that exceed their organic cash flow generation capacity. The property services sector continues to consolidate, and FirstService is positioning itself as a primary aggregator with the financial resources to capitalize on market dislocations and strategic opportunities across both its residential management and property services platforms.
TORONTO, Feb. 26, 2025 (GLOBE NEWSWIRE) -- FirstService Corporation (TSX: FSV; NASDAQ: FSV) (“FirstService”) announced today that it has expanded and extended its unsecured revolving credit facility (the “Credit Facility”) for a new five-year term maturing in February 2030, replacing the prior facility which was set to expire in February 2027. Under the amended Credit Facility, borrowing capacity has been increased to US
The financing was substantially oversubscribed by its syndicate of 11 banks, led by The Toronto-Dominion Bank and including JP Morgan Chase Bank, Bank of America, Bank of Montreal, Bank of Nova Scotia, Canadian Imperial Bank of Commerce, U.S. Bank, Desjardins, National Bank of Canada, Royal Bank of Canada and Raymond James Bank.
“We appreciate the long-standing relationship with our banking group and their continued confidence and support with this financing. This transaction enhances our capacity and financial flexibility to fund future growth initiatives across our businesses,” said Jeremy Rakusin, Chief Financial Officer. “The Credit Facility, together with our outstanding tranches of privately-held long-term senior notes aggregating US
About FirstService Corporation
FirstService Corporation is a North American leader in the property services sector, serving its customers through two industry-leading service platforms: FirstService Residential – North America's largest manager of residential communities; and FirstService Brands – one of North America's largest providers of essential property services delivered through individually branded company-owned operations and franchise systems.
FirstService generates more than US
Forward-looking Statements
This press release includes or may include forward-looking statements. Much of this information can be identified by words such as “expect to,” “expected,” “will,” “estimated” or similar expressions suggesting future outcomes or events. FirstService believes the expectations reflected in such forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. These statements involve known and unknown risks, uncertainties and other factors which may cause the actual results to be materially different from any future results, performance or achievements contemplated in the forward-looking statements. Such factors include: (i) general economic and business conditions, which will, among other things, impact demand for FirstService’s services and the cost of providing services; (ii) the ability of FirstService to implement its business strategy, including FirstService’s ability to acquire suitable acquisition candidates on acceptable terms and successfully integrate newly acquired businesses with its existing businesses; (iii) changes in or the failure to comply with government regulations; and (iv) other factors which are described in FirstService’s annual information form for the year ended December 31, 2024 under the heading “Risk factors” (a copy of which may be obtained at www.sedarplus.ca) and Annual Report on Form 40-F filed with the United States Securities and Exchange Commission (a copy of which may be obtained at www.sec.gov), and subsequent filings (which factors are adopted herein). Forward-looking statements contained in this press release are made as of the date hereof and are subject to change. All forward-looking statements in this press release are qualified by these cautionary statements. Unless otherwise required by applicable securities laws, we do not intend, nor do we undertake any obligation, to update or revise any forward-looking statements contained in this press release to reflect subsequent information, events, results or circumstances or otherwise.
COMPANY CONTACTS:
D. Scott Patterson
Chief Executive Officer
Jeremy Rakusin
Chief Financial Officer
(416) 960-9566
FAQ
What is the new credit facility amount for FirstService (FSV) and when does it mature?
How much did FirstService (FSV) increase its credit facility compared to the previous amount?
What will FirstService (FSV) use the expanded credit facility for?
How many banks are in the syndicate supporting FirstService's (FSV) credit facility?
What is FirstService's (FSV) current annual revenue and employee count?
