Charlotte-based automotive services company Driven Brands Holdings Inc. has secured $500 million through a new offering, using the proceeds, along with funds from its revolving credit facility, to refinance existing debt in addition to paying related transaction costs and for general corporate purposes.
According to a news release, the offering consisted of Series 2025-1 Class A-2 Fixed Rate Senior Secured Notes, issued by Driven Brands subsidiaries. The notes carry a 5.296 percent interest rate, with an expected repayment date in October 2030 and final maturity in October 2055.
Driven Brands reported the deal was structured as a whole business securitization through its U.S. and Canadian funding entities.
The notes were rated BBB by Kroll Bond Rating Agency and BBB- by S&P Global, consistent with the company’s previous 2024 issuance.
