CELESTICA INC 8-K

What Happened

• Celestica filed an 8‑K (April 28, 2026) reporting an April 27, 2026 amendment to its senior credit agreement with Bank of America, N.A. as Administrative Agent and a syndicate of lenders. The amendment increases the company’s revolving credit facility, refinances its Term A loan and extends maturity dates.
• Key actions: the Revolver commitment was increased from $750.0 million to $1,750.0 million; the existing Term A Loan (about $228.1 million outstanding at March 31, 2026) was refinanced into a new $250.0 million Term A Loan that was fully drawn at closing; and both the Revolver and the new Term A Loan maturity dates were extended from June 2029 to April 2031.

Key Details

• Revolver increased to $1,750.0 million (from $750.0 million).
• New Term A Loan: $250.0 million (refinanced prior Term A borrowings of $228.1M); proceeds repaid the refinanced loan and fees, with any remainder for general corporate purposes.
• Maturity extended: June 2029 → April 2031 for both the Revolver and New Term A Loan.
• Pricing: margins vary by currency, rate choice and Celestica’s corporate rating; current margin for U.S. dollar borrowings based on Term SOFR is 1.50% (applicable to post‑closing Revolver and New Term A Loan). Commitment fees on undrawn Revolver funds range from 0.100%–0.275%.

Why It Matters

• The amendment meaningfully increases Celestica’s available liquidity and extends debt maturities, reducing near‑term refinancing pressure and giving management more flexibility to fund operations and corporate needs.
• Investors should note the company refinanced outstanding term debt and locked in current pricing terms (including a stated 1.50% Term SOFR margin for USD loans) while the agreement retains customary default and acceleration terms and does not introduce new lender remedies or collateral requirements.
• The full Second Amendment is filed as Exhibit 10.1 to the 8‑K for anyone who wants the complete legal terms.