Kellanova Enters into New Credit Agreement with Bank of America and Other Financial Institutions

Kellanova, a Delaware corporation listed on the New York Stock Exchange under the symbol K, announced on December 11, 2024, the execution of an unsecured 364-Day Credit Agreement with Bank of America, N.A. and several other financial institutions. The agreement, termed the “New 364-Day Credit Facility,” involves Bank of America, N.A. acting as Administrative Agent, and includes Barclays Bank PLC, Citibank, N.A., Coöperatieve Rabobank U.A., New York Branch, ING Bank N.V., Dublin Branch, JPMorgan Chase Bank, N.A., Mizuho Bank Ltd., and Sumitomo Mitsui Banking Corporation as Co-Syndication Agents.

The agreement replaces the existing 364-Day Credit Agreement dated December 19, 2023, and involves the termination of the previous credit facility with JPMorgan Chase Bank, N.A., among others. The New 364-Day Credit Facility enables Kellanova to borrow up to $750,000,000 on a revolving credit basis, subject to specified interest rates and fees.

The interest rates applicable to borrowings under the facility are tied to the secured overnight financing rate (SOFR), along with a margin as detailed in the agreement. Additionally, the agreement includes customary covenants, restrictions on indebtedness, liens, and an interest expense coverage ratio requirement.

In the event of default, the Administrative Agent may terminate commitments, accelerate outstanding loans, and demand cash collateral based on the lenders’ letter of credit exposure. The Company disclosed that as of the Effective Date, no borrowings were outstanding under the New 364-Day Credit Facility or the previous one.

The agreement also states that several of the lenders have provided, and may continue to provide, investment banking, financial advisory, and other services to Kellanova and its subsidiaries. The full text of the New 364-Day Credit Facility is available as Exhibit 10.1 within the filed report.

Kellanova’s Senior Vice President, Chief Legal Officer, and Secretary Todd W. Haigh signed the report on behalf of the company on December 12, 2024. The Company pledged to provide supplemental copies of any omitted exhibits upon request by the SEC.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Kellanova’s 8K filing here.

Kellanova Company Profile

Kellanova, together with its subsidiaries, manufactures and markets snacks and convenience foods in North America, Europe, Latin America, the Asia Pacific, the Middle East, Australia, and Africa. Its principal products include crackers, crisps, savory snacks, toaster pastries, cereal bars, granola bars and bites, ready-to-eat cereals, frozen waffles, veggie foods, and noodles.