Bank of China Contributes $40 million USD to $1 billion USD Tranche A of $2.5 billion syndicated term loan to Whirlpool Corporation in 2022 for acquisition of Emerson’s InSinkErator (Linked to Record ID#105232)

Project narrative

On September 23, 2022, financial close was reached on a deal in which a syndicate of 7 banks — including Bank of China — entered into a $2.5 billion syndicated loan agreement with Whirlpool Corporation syndicated loan agreement to support Whirlpool Corporation’s acquisition of Emerson Electric Co.'s InSinkErator business. The $2.5 billion USD loan was structured into two tranches: Tranche A, a $1 billion USD facility, and Tranche B, a $1.5 billion USD facility. While Tranche A has a maturity date of 18 months, Tranche B has a maturity date of 3 years. Whirlpool Corporation, a major U.S.-based multinational manufacturer of home appliances, obtained these facilities to finance the acquisition and pay related fees and expenses. The loan matures with an 18-month term for Tranche A and a three-year term for Tranche B. The interest rate for both tranches is based on the SOFR plus an applicable margin. The Company utilized proceeds from the term loan facility on a delayed draw basis to fund a majority of the $3.0 billion purchase price consideration for the Company’s acquisition from Emerson Corporation (“Emerson”) of Emerson’s InSinkErator business. While Bank of China contributed $40 million to Tranche A (Record ID#105231)and $60 million to Tranche B (Record ID#105232), the following lenders also participated: Sumitomo Mitsui Banking Corporation, BNP Paribas, ING Bank N.V. Dublin Branch, Mizuho Bank, Ltd., Societe Generale, and The Bank of Nova Scotia. The outstanding amount for this term loan at June 30, 2024 is $1.5 billion. The $1 billion tranche’s $500 million was repaid in December 2023 and the remaining $500 million was repaid in April 2024. On November 1, 2022, the acquisition is completed.