Hillman Solutions Completes $1.11B Debt Refinancing

What Happened
Hillman Solutions Corp. (HLMN) filed an 8‑K on July 22, 2026 announcing it completed a previously announced refinancing of its borrower's debt. The company’s subsidiaries entered a new Term Credit Agreement led by Jefferies Finance LLC providing a $735.0 million senior secured term loan, and a new ABL Credit Agreement led by U.S. Bank National Association providing $375.0 million in senior secured revolving commitments.

Key Details

• Term loan: $735.0 million senior secured facility; initial maturity July 22, 2033; pricing at borrower’s option SOFR + 2.00% or ABR + 1.00%; no financial maintenance covenants.
• ABL (revolver): $375.0 million aggregate commitments; $325.0M available to the U.S. borrower and $50.0M to the Canadian borrower; initial maturity July 22, 2031; pricing SOFR/CORRA + 1.25%–1.50% (or alternate base rate + 0.25%–0.50%), subject to a borrowing base.
• Purpose: Term loan refinanced and terminated prior term facilities; ABL available for working capital, general corporate purposes and related fees/costs.
• Security and guarantees: Loans are guaranteed by the parent (Holdings) and, subject to customary exceptions, domestic subsidiaries; secured by substantially all assets (plus Canadian collateral for Canadian borrower). Prior credit agreements from 2021 (term) and 2018 (ABL) were refinanced and terminated.

Why It Matters
This refinancing establishes the company’s near‑ and medium‑term capital structure with a $1.11B combined term and revolving facility, locking in maturities through 2031–2033 and replacing prior agreements. For investors, key takeaways are the sizable committed liquidity for working capital and operations, the secured nature of the debt with guarantees, and that the term loan contains no financial maintenance covenants (reducing short‑term covenant risk). Pricing is tied to market rates (SOFR/CORRA) plus fixed margins, so interest expense will vary with market rates.