U.S. toymaker Hasbro Inc. entered into a $1 billion five-year term loan agreement with Bank of America NA, according to a Sept. 24 SEC filing.
The term loan includes a $400 million three-year senior unsecured term loan facility and a $600 million five-year senior unsecured term loan facility.
The proceeds of the borrowing will be used to partly fund Hasbro's $4 billion acquisition of Canadian mass media firm Entertainment One Ltd.
Borrowings under the term loan will bear interest, at the company's option, at either a base rate or a Eurocurrency Rate, in each case plus an applicable per annum rate.
Moody's Investors Service and S&P Global Ratings recently downgraded Hasbro's ratings over the Entertainment One purchase.
