RTX gets $2 billion 18-month loan, $2 billion three-year loan

By Wendy Van Sickle

Columbus, Ohio, Nov. 8 – RTX Corp. entered into a term loan credit agreement with Citibank, NA as administrative agent on Tuesday to provide for a $2 billion 18-month unsecured unsubordinated term loan facility and a $2 billion three-year unsecured unsubordinated term loan facility, according to an 8-K filing with the Securities and Exchange Commission.

Goldman Sachs Lending Partners LLC, BofA Securities, Inc., JPMorgan Chase Bank, NA and Morgan Stanley Senior Funding, Inc. are the joint lead arrangers and joint bookrunners, Goldman Sachs Lending is the syndication agent, and Bank of America, NA, JPMorgan and Morgan Stanley Senior Funding are the documentation agents

The term loans under the credit agreement were drawn in full at closing.

The company used the proceeds thereof, along with the net proceeds of the issuance of $6 billion of notes and cash on hand, to repay the loans under its bridge credit agreement dated Oct. 24 with Citibank as administrative agent.

Borrowings under the term loan credit agreement bear interest at a rate equal to SOFR plus a margin ranging from 100 basis points to 137.5 bps, depending on the company’s senior, unsecured, non-credit-enhanced, long-term debt ratings.

Arlington, Va.-based RTX is a global provider of high-technology products and services to the aerospace and defense industries. It was formerly known as Raytheon Technologies Corp.

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