Keurig Dr Pepper Inc. Enters into 364-Day Term Loan Agreement and Amends Bridge Credit Agreement

Keurig Dr Pepper Inc. (KDP) has entered into a 364-day Term Loan Agreement for up to €10.35 billion, with interest rates based on the EURIBO rate plus a margin of 0.750% to 1.750%. The agreement includes customary covenants, including financial covenants related to interest coverage and leverage ratios. Proceeds from this facility may be used to fund the acquisition of JDE Peet’s. Additionally, KDP amended its Bridge Credit Agreement, reducing the lenders' commitment by €10.35 billion, from €16.2 billion to €5.85 billion. This amendment also prioritizes the use of certain debt proceeds for the Term Loan Agreement before the Bridge Credit Agreement. The company also reported the creation of a direct financial obligation under the Term Loan Agreement.