The Firm represented Hub International Limited (“Hub”) in connection with its Rule 144A and Regulation S offering of $1.32 billion aggregate principal amount of 7% Senior Notes due 2026 (the “Notes”). In addition, the Firm represented Hub in connection with the refinancing of its existing senior secured credit facilities to provide a new $3.21 billion term loan facility, a new $400 million U.S. dollar revolving credit facility and a new C$130 million Canadian dollar revolving credit facility. The new senior secured credit facilities are secured by first priority liens on acquired assets of, and guaranteed on a senior basis by, Hub’s wholly owned domestic restricted subsidiaries and, in the case of the Canadian dollar revolving credit facility, Hub’s wholly owned Canadian restricted subsidiaries. The Notes are guaranteed on a senior basis by Hub’s wholly owned domestic restricted subsidiaries that guarantee Hub’s obligations under the new term loan facility and the new U.S. dollar revolving credit facility.
Hub used the net proceeds from the Notes offering, together with borrowings under the new term loan facilities and cash on hand, to (i) redeem, satisfy and discharge all of its outstanding 7.875% senior notes due 2021 and the 8.125%/8.875% senior contingent cash pay notes due 2019 issued by Hub’s parent, (ii) repay in full all borrowings under its existing senior secured credit facilities and (iii) pay all fees and expenses related to the refinancing.
Hub is a leading insurance broker in North America and provides a broad array of insurance-related products and services, including property and casualty, employee benefits, life and health, and risk management.
The Simpson Thacher team included William Brentani, Ryan Coombs, Kim de Glossop, Christine Ristow and Bob Zhao (Capital Markets); Brian Steinhardt, Chance Goldberg, Susan Wang and Ronnie Lim (Credit); and Jacqueline Clinton (Tax).