Uber 8-K

Summary

New financing agreements tied to Uber’s planned Delivery Hero offer. Uber entered into a term loan facility, amended its bridge facility and replaced its revolving credit facility; the new term loan commitments reduced the bridge commitments by €4.0B.

Key Figures

• Revolving credit facility: $7.7B of senior unsecured commitments, maturing 8/6/2031 unless extended; about $324M of letters of credit transferred from the prior facility, with no loans drawn at closing.
• Term loan facility: two senior unsecured tranches, maturing 18 months and three years after closing. Proceeds may fund the offer and related transactions, refinance certain Delivery Hero debt and cover transaction costs. Interest is EURIBOR plus a rating-based margin.
• Bridge facility: commitments reduced by €4.0B. The amendment replaced a cross-default with a cross-payment default and acceleration provision and increased its threshold from $300M to $500M.
• Both the term loan and revolving facilities require a minimum 3.00-to-1.00 ratio of consolidated adjusted earnings before interest, taxes, depreciation and amortization to consolidated interest expense. The revolving facility replaces the prior facility and carries rating-based pricing; its proceeds may be used for general corporate purposes.

Investor Takeaways

• Delivery Hero offer completion and the related financing drawdowns are the next milestones; any term-loan maturities run from the transaction closing date.