HEICO Boosts Revolving Credit to $2.2 Billion, Extends Maturity to 2031
HEIA•HEICO increased its unsecured revolving credit facility by $200 million to $2.2 billion, extended the maturity to 2031 and added an accordion feature boosting capacity to $3 billion. Borrowings at SOFR plus 75–125 basis points will fund acquisitions and general corporate purposes, enhancing financial flexibility for growth.
1. Facility Increase and Extension
HEICO expanded its existing unsecured revolving credit facility by $200 million, raising the total commitment to $2.2 billion. The maturity date has been pushed out to 2031, providing long-term liquidity stability.
2. Pricing and Accordion Feature
Borrowings under the facility will bear interest at SOFR plus an applicable margin of 75–125 basis points, tied to HEICO’s investment-grade rating. An accordion option allows lenders and HEICO to increase the facility up to $3 billion if needed.
3. Strategic Use of Proceeds
Proceeds from the enlarged facility are earmarked primarily for acquisitions, supporting HEICO’s track record of over 110 completed deals since 1996, as well as for general corporate purposes.
4. Leadership Perspective
HEICO’s Co-CEOs emphasized that the expanded facility and extended maturity reinforce the company’s disciplined acquisition strategy and provide the low-cost, flexible capital needed to respond swiftly to market opportunities.
