Simpson Thacher recently represented the initial purchasers, led by J.P. Morgan Securities LLC, BofA Securities, Inc. and U.S. Bancorp Investments, Inc., in connection with the 144A/Regulation S offering by Regal Rexnord Corporation (NYSE: RRX) (“Regal Rexnord”), consisting of $4.7 billion aggregate principal amount across four tranches of fixed rate senior notes. The Firm also represented JPMorgan Chase Bank, N.A., as agent, and the lenders party thereto in connection with Regal Rexnord’s incremental $840 million term loan A-1 facility and increased commitments of $570 million under its revolving credit facility.
The net proceeds of the notes offering and borrowings under the incremental term loan A-1 facility are intended to be used, together with cash on hand, to fund Regal Rexnord’s merger with Altra Industrial Motion Corp. (NASDAQ: AIMC) (“Altra”), repay certain outstanding indebtedness of Regal Rexnord and Altra and pay related fees and expenses.
Regal Rexnord is a global leader in the engineering and manufacturing of industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products, and specialty electrical components and systems.
Altra is a premier industrial global manufacturer and supplier of highly engineered motion control, automation, and power transmission systems and components.
The Simpson Thacher team included David Azarkh, Ben Heriaud, Ignacio Perez and Kaitlyn Posa (Capital Markets); Jessica Tuchinsky, Leah Nudelman and Mari Zaldivar (Banking and Credit); Michael Mann (Tax); Ryan Stott, Guanxiong Xu and Daniel Venditti (Executive Compensation and Employee Benefits); Melanie Jolson (Intellectual Property); Michael Isby (Environmental); Jeanne Annarumma (ERISA); and Andrew Pagliughi (Blue Sky).