NEW
YORK, Sept. 17, 2024 /PRNewswire/ -- Standard
Motor Products, Inc. (NYSE: SMP), a leading automotive parts
manufacturer and distributor, announced today it has entered into a
new five-year $750 million credit
facility, with JPMorgan Chase Bank, N.A., as agent, and a syndicate
of lenders (the "Credit Facility"). The Credit Facility includes
$310 million of term loans and a
$440 million revolving credit
facility, and allows for borrowing in multiple currencies. In
addition, SMP intends to use interest rate swap agreements to
fix the interest rate on approximately $200
million of borrowings.
Mr. Nathan Iles, Standard Motor Products' Chief
Financial Officer, stated, "We are pleased to get this
long-term agreement in place. This credit facility will not only
provide the financing we need to complete the acquisition of
Nissens Automotive by year-end, but also gives us additional
flexibility to continue to execute on our capital allocation
priorities of investing for growth and providing shareholder
returns. We thank JP Morgan and all our banking partners for their
support in helping SMP continue to grow."
The Credit Facility replaces our existing facility and will
mature in September 2029. Proceeds
will be used to fund the acquisition of Nissens Automotive and
repay all outstanding borrowings under the Company's existing
credit facility. It will also be used to pay certain fees and
expenses that were incurred in connection with the Credit Facility,
and for other general corporate purposes. For more information on
our acquisition of Nissens Automotive, please see our press release
from July 10, 2024 on our website at
SMP & Nissens Automotive.
Under the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, Standard Motor Products cautions
investors that any forward-looking statements made by the company,
including those that may be made in this press release, are based
on management's expectations at the time they are made, but they
are subject to risks and uncertainties that may cause actual
results, events or performance to differ materially from those
contemplated by such forward looking statements. Among the factors
that could cause actual results, events or performance to differ
materially from those risks and uncertainties discussed in this
press release are those detailed from time-to-time in prior press
releases and in the company's filings with the Securities and
Exchange Commission, including the company's annual report on Form
10-K and quarterly reports on Form 10-Q. By making these
forward-looking statements, Standard Motor Products undertakes no
obligation or intention to update these statements after the date
of this release.
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SOURCE Standard Motor Products, Inc.