Salesforce, Inc. (CRM, Financial) has announced the execution of two significant credit agreements to facilitate its pending acquisition of Informatica Inc. The agreements, dated June 20, 2025, include a 364-Day Credit Agreement and a Three-Year Credit Agreement, collectively providing Salesforce with up to $6 billion in unsecured borrowing capacity.
The 364-Day Credit Agreement allows Salesforce to borrow up to $4 billion. This facility is intended to finance a portion of the cash consideration for the Informatica acquisition, repay certain Informatica debts, and cover associated fees and expenses. The loans under this agreement are expected to be drawn in a single borrowing on the closing date and will mature 364 days thereafter. Interest rates will fluctuate based on Salesforce's credit ratings, with options for an alternate base rate or term SOFR rate plus an applicable margin.
Similarly, the Three-Year Credit Agreement provides an additional $2 billion in borrowing capacity under similar terms. This agreement also supports the Informatica acquisition and related financial obligations. The loans will mature three years after the closing date, with interest rates and fees structured similarly to the 364-Day Credit Agreement.
Both agreements include customary representations, warranties, and covenants typical for unsecured financings of this nature. They also outline various events of default, including nonpayment, covenant breaches, and insolvency, among others.
These strategic financial arrangements underscore Salesforce's commitment to completing the Informatica acquisition, enhancing its market position, and delivering value to its stakeholders. The completion of the acquisition remains subject to regulatory approvals and other customary closing conditions.
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