LPL Financial Announces Completion of Leverage-Neutral Transaction Amending Senior Secured Credit Facilities and Offering Senior Unsecured Notes

SAN DIEGO, March 15, 2021 (GLOBE NEWSWIRE) -- LPL Financial Holdings Inc. (Nasdaq: LPLA) today announced that its wholly owned subsidiary, LPL Holdings, Inc. (“LPL Holdings”), has completed its previously announced amendment of its revolving credit facility (the “credit agreement amendment”) and offering of senior unsecured notes (the “senior notes”).

LPL Holdings used the net proceeds from the senior notes offering, together with cash available for corporate use, to redeem its existing $900 million of senior unsecured notes due 2025 (the “2025 notes”) and to pay fees and expenses related to the senior notes offering and the credit agreement amendment. The senior notes bear interest at a rate of 4.000% to be paid semi-annually in arrears on March 15 and September 15 of each year, beginning on September 15^th, 2021. The senior notes were priced at 100% of the aggregate principal amount, and will mature on March 15^th, 2029. As a result of the credit agreement amendment, LPL Holdings increased the size of its revolving credit facility from $750 million to $1.0 billion and extended the maturity date of the revolving credit facility from 2024 to 2026.

LPL Holdings’ outstanding indebtedness following the senior notes offering and credit agreement amendment is summarized in the following table:

	Outstanding Principal Amount         (dollars in thousands)			Current Applicable         Margin		Yield At Issuance			Maturity
Revolving Credit Facility (a)	$	—		LIBOR + 125 bps(d)					3/15/2026
Senior Secured Term Loan B (b)		1,059,300		LIBOR + 175 bps(d)					11/12/2026
2027 Senior Unsecured Notes (c)		400,000		4.625% Fixed		4.625	%		11/15/2027
2029 Senior Unsecured Notes (c)		900,000		4.000% Fixed		4.000	%		3/15/2029
Total	$	2,359,300