Visa enters $3 billion unsecured revolving credit facility with BofA

By Jennifer Chiou

New York, Jan. 31 - Visa Inc. entered into a $3 billion unsecured revolving credit facility with Bank of America, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

The interest rate is Libor plus 62.5 basis points to 112.5 bps, and the commitment fee is 4 bps to 10 bps. Each depends on the company's ratings.

JPMorgan Chase Bank, NA acted as syndication agent for the 364-day facility with J.P. Morgan Securities LLC, Bank of America Merrill Lynch, Citigroup Global Markets Inc., Standard Chartered Bank, Bank of Tokyo-Mitsubishi UFJ, Ltd., U.S. Bank NA, Wells Fargo Securities, LLC, Bank of China, Los Angeles Branch and Canadian Imperial Bank of Commerce, New York Agency as joint lead arrangers and joint bookrunners.

The facility matures on Jan. 30, 2014 and replaces the company's prior loan, which was to expire on Feb. 15, 2013.

Visa has to maintain a consolidated debt-to-consolidated EBITDA ratio of no more than 3.75 to 1.00.

The revolver was undrawn at closing.

Proceeds will be used for general corporate purposes.

San Francisco's Visa operates a retail electronic payments network.

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