Dayforce signs $350 million revolver as part of $1 billion financing

By Mary-Katherine Stinson

Lexington, Ky., March 1 – Dayforce Inc. on Feb. 29 closed on a senior secured revolving credit facility in an aggregate principal amount of $350 million as part of deal that also includes a $650 million senior secured term loan facility, according to an 8-K filing with the Securities and Exchange Commission.

The loans under the revolving facility mature on March 1, 2031.

Borrowings under the revolver bear interest at term SOFR or Corra plus an applicable margin of between 225 basis points and 275 bps, depending on the consolidated first-lien leverage ratio of the company.

The company will be required to pay a fee based on the unused commitments under the revolving facility of between 25 bps and 50 bps, also depending on the company’s leverage ratio.

Dayforce may prepay the outstanding loans under the new secured facilities without a penalty, subject to customary benchmark rate breakage costs, except that any transaction resulting in a repricing transaction before six months after closing will be subject to a fee of 100 bps.

JPMorgan Chase Bank, NA, Citigroup, NA and Goldman Sachs Bank USA are the joint lead arrangers and joint bookrunners for the deal. JPMorgan is the administrative agent and collateral agent.

Bank of America, NA, Canadian Imperial Bank of Commerce, Barclays, BMO Bank, NA, MUFG Bank, Ltd., PNC Bank, NA, TD Securities (USA) LLC and Truist Bank are the documentation agents.

Dayforce, formerly known as Ceridian HCM Holding Inc., is a Minneapolis-based provider of human resources software and services.

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