Greenbrier Companies, Inc. (NYSE: GBX) has renewed and extended two bank facilities totaling $850 million, with maturities extended into 2030. The company renewed its $600 million domestic revolving facility and $250 million term loan, with favorable pricing and terms, extending both instruments by five years until 2030. With this activity completed, remaining long-term debt maturities are staggered into 2030, with the next significant debt tranche maturing in 2027.
Over the last two years, Greenbrier has realigned its debt profile to feature more non-recourse borrowing, following two successful asset-backed security offerings in 2022 and 2023 and the repayment of $180 million of recourse debt. This move aims to maximize shareholder returns through a balanced approach to equity and non-recourse debt.
Greenbrier's CEO and President, Lorie Tekorius, emphasized the importance of a healthy liquidity position, highlighting it as a critical cornerstone of the company's strategy to navigate various market conditions successfully and act opportunistically when markets are strong.
Greenbrier, headquartered in Lake Oswego, Oregon, is a leading international supplier of equipment and services to global freight transportation markets. Through its wholly-owned subsidiaries and joint ventures, Greenbrier designs, builds, and markets freight railcars in North America, Europe, and Brazil. The company also provides freight railcar wheel services, parts, maintenance, and retrofitting services in North America and owns a lease fleet of approximately 16,600 railcars originating primarily from its manufacturing operations. Greenbrier offers railcar management, regulatory compliance services, and leasing services to railroads and other railcar owners in North America. The market has reacted to these announcements by moving the company's shares 2.68% to a price of $45.53. For more information, read the company's full 8-K submission here.
