Swissotel Sydney

FRHI Holdings Limited (FRHI), the parent company of Fairmont Hotels and Resorts, Raffles Hotels and Resorts and Swissôtel Hotels and Resorts, has confirmed that is has successfully entered into a new USD$600 million credit facility with a syndicate of 11 lenders. 

According to the company, the new facility replaces FRHI’s existing facility, which was scheduled to mature August 2013. 

“We are very pleased with the finalization of the new credit facility which provides improved pricing and terms while extending maturity and increasing the facility size,” said FRHI Chairman and Chief Executive Officer, Bill Fatt. “In addition, the new facility greatly enhances our financial flexibility and capacity to support the global expansion of our three brands.”

The new facility has an initial maturity of May 2016 with an option to extend the term for one additional year, subject to certain conditions including the payment of an extension fee.

In addition, FRHI has the option to seek additional lender commitments to increase the aggregate principal amount of the new facility by up to USD$250 million through an accordion feature, allowing for total commitments up to USD$850 million.

The facility was arranged by Citigroup Global Markets Inc. and RBC Capital Markets as Joint Lead Arrangers and Book Running Managers.

James Wilkinson

Editor-In-Chief, Hotel Management

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