ITT Holdings’ $2 Billion Refinancing Transactions

Kirkland & Ellis counseled Jefferies Finance LLC in the transaction.

ITT Holdings LLC executed the offering of $1.22 billion aggregate principal amount of 6.50 percent senior notes due 2029 at an offering price equal to 100 percent of the principal thereof.  

Additionally, Jefferies Finance LLC executed its arrangement of a $650 million senior secured term loan facility and $300 million senior secured revolving credit facility for ITT Holdings LLC.

The offering of the notes and the credit facilities are expected to close on or about July 8, 2021, subject to customary closing conditions. 

ITT Holdings intends to use the gross proceeds of the offering of the notes and the borrowings under the credit facilities (i) to redeem all of its outstanding private placement notes, (ii) to redeem all of its tax-exempt bonds, (iii) to repay certain other indebtedness, including outstanding borrowings under a term loan credit facility at RS Ivy Holdco, Inc., (iv) to pay related premiums and accrued and unpaid interest on such indebtedness and fees, and expenses in connection therewith and (v) to fund a distribution to its equity owners.

Headquartered in New Orleans, Louisiana, ITT Holdings LLC is one of the largest providers of independent, or third-party, bulk liquid terminal services in North America with approximately 50 million barrels of storage capacity. ITT Holdings’ infrastructure assets provide bulk liquid storage, handling, and associated ancillary services for third-party customers engaged in the distribution and marketing of refined petroleum products, various manufacturing and specialty chemicals, renewable fuels (including ethanol, renewable diesel and biodiesel) and vegetable and tropical oils (collectively liquid commodities).

The Kirkland team was led by debt finance partners Will Bos (Picture), Andy Veit and Chad Davis and associates Mahalia Doughty, Keegan Bobholz and Graham Owen; and capital markets partners Michael Rigdon and Julian Seiguer and associates Justin Bosworth and Samantha Siegler.

Involved fees earner: Keegan Bobholz – Kirkland & Ellis; William Bos – Kirkland & Ellis; Justin Bosworth – Kirkland & Ellis; Chad Davis – Kirkland & Ellis; Mahalia Doughty – Kirkland & Ellis; Graham Owen – Kirkland & Ellis; Michael Rigdon – Kirkland & Ellis; Julian Seiguer – Kirkland & Ellis; Samantha Siegler – Kirkland & Ellis; Andy Veit – Kirkland & Ellis;

Law Firms: Kirkland & Ellis;

Clients: Jefferies Finance LLC;

Author: Martina Bellini