Rivian amends credit pact to ‘double’ revolving facility limit to $1.5B

Earlier on Wednesday, Rivian Automotive announced that Rivian Holdings, a direct subsidiary of Rivian Automotive, has entered into an Amended and Restated asset-based revolving Credit Agreement or A&R Credit Agreement, with JPMorgan Chase Bank as administrative agent. This A&R Credit Agreement amended Rivian’s existing credit agreement dated May 20. Among other things, the A&R Credit Agreement amended the existing Credit Agreement to: Double the, currently undrawn, revolving commitments to $1.5B. Increase the letter of credit sublimit from $500M to $1B . Extend the maturity date from May 20, 2025 to a date that is the earlier of April 19, 2028 and a date that is 91 days prior to the stated maturity of certain series of debt for borrowed money with an aggregate principal amount equal to or exceeding $200M then outstanding. Amend the borrowing base to expand eligibility of certain assets – for example, in-transit batteries Change the interest rate benchmark. Amend certain other covenants and baskets to broaden future indebtedness as part of Rivian’s capital roadmap. Claire McDonough, CFO, Rivian said: "The amendments to our asset-based revolving credit facility reinforce Rivian’s strong balance sheet position and reflect an important step in our portfolio based capital roadmap. Our amended asset-based revolving credit facility doubles the available revolving commitments to $1.5B, increases the letters of credit capacity, extends the maturity and includes other amended terms structured to support the rapid scaling of our business."… The A&R Credit Agreement also permits Rivian Holdings, subject to the terms and conditions thereof, to obtain additional revolving commitments, so long as the total amount of all revolving commitments under the A&R Credit Agreement does not exceed $2B after giving effect to such additional revolving commitments.