Digital Media Net - Your Gateway To Digital media Creation. News and information on Digital Video, VR, Animation, Visual Effects, Mac Based media. Post Production, CAD, Sound and Music
Categories: News

Frontdoor, Inc. Announces Refinancing and Deleveraging Transaction to Significantly Reduce Annual Interest Expense and Extend Maturities

MEMPHIS, Tenn.–(BUSINESS WIRE)–Frontdoor, Inc. (NASDAQ: FTDR), the nation’s leading provider of home service plans, today announced that it is launching a refinancing transaction to significantly reduce annual interest expense and extend maturities.

This action is expected to include using cash on hand and issuing new term loans as well as a new revolving credit facility to repay the existing $350 million 6.750% Senior Notes due 2026 (the “Notes”), as well as refinance the existing credit facility comprised of a revolving credit facility due in 2023 and a Term Loan B due in 2025.

As a result of this transaction, the company expects to reduce gross leverage, reduce its weighted average interest rate and extend its average maturity.

Finalized details relating to the transactions will be made public at transaction closing, which is expected in June.

This press release shall not constitute the solicitation of an offer to buy any Notes, nor shall there be any solicitation of the Notes in any jurisdiction in which such offer, solicitation or sale would be unlawful.

About Frontdoor

Frontdoor is a company that’s obsessed with taking the hassle out of owning a home. With services powered by people and enabled by technology, it is the parent company of four home service plan brands: American Home Shield, HSA, Landmark and OneGuard, as well as ProConnect, an on-demand membership service for home repairs and maintenance, and Streem, a technology company that enables businesses to serve customers through an enhanced augmented reality, computer vision and machine learning platform. Frontdoor serves 2.2 million customers across the U.S. through a network of approximately 17,500 pre-qualified contractor firms that employ an estimated 62,000 technicians. The company’s customizable home service plans help customers protect and maintain their homes from costly and unexpected breakdowns of essential home systems and appliances. With 50 years of home services experience, the company responds to over four million service requests annually. For details, visit frontdoorhome.com.

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current expectations and beliefs, as well as a number of assumptions concerning future events. These statements are subject to risks, uncertainties, assumptions and other important factors. Readers are cautioned not to put undue reliance on such forward-looking statements because actual results may vary materially from those expressed or implied. The reports filed by Frontdoor pursuant to United States securities laws contain discussions of these risks and uncertainties. Frontdoor assumes no obligation to, and expressly disclaims any obligation to, update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Readers are advised to review Frontdoor’s filings with the United States Securities and Exchange Commission (which are available on the SEC’s EDGAR database at www.sec.gov and via Frontdoor’s website at investors.frontdoorhome.com).

FTDR-Financial

Contacts

Investor Relations
Matt Davis

901-701-5199

IR@frontdoorhome.com

Media
Alison Bishop

901-701-5198

MediaCenter@frontdoorhome.com

Staff

Recent Posts

Code and Theory Introduces the ContextLens: The First AI-Driven Anticipatory Graphic Design System for Publishers

Building on its history of publishing firsts, the ContextLens debuts on RealClearPolling NEW YORK, Oct. 31,…

13 mins ago

HitPaw Video Enhancer Rebrands to HitPaw VikPea: Major Update for Your Ultimate Video Enhancer Solution!

NEW YORK, Oct. 31, 2024 /PRNewswire/ -- HitPaw, a leading software company, is excited to announce…

1 hour ago

CRAFTY APES CONTINUES GLOBAL EXPANSION WITH KEY HIRES

LOS ANGELES, Oct. 31, 2024 /PRNewswire/ -- Crafty Apes, a full-service visual effects powerhouse with…

1 hour ago

3D animation platform Swoove Studios raises $7.5m seed round

European business takes total raised to $11m ahead of US launch & strategic review ANTWERP,…

1 hour ago

GelSight and Meta AI Introduce Digit 360 Tactile Sensor

Digit 360 deepens GelSight and Meta AI’s existing partnership and fosters a community-driven approach to…

8 hours ago

The Electronics Business of Merck KGaA, Darmstadt, Germany, Completes Acquisition of Unity-SC and Strengthens Optronics Offering to Better Serve the Semiconductor Industry

Leveraging existing capabilities and the convergence of semiconductor and display to deliver new product offerings…

8 hours ago