Frontdoor Secures $1.47 Billion for Strategic Acquisition

frontdoor ( (FTDR) ) has shared an update.

Frontdoor, Inc. has launched a $1.47 billion credit facility to fund its acquisition of 2-10 Home Buyers Warranty and refinance existing debt, with the acquisition expected to close in mid-December 2024. The new facility includes a Term Loan A, Term Loan B, and a revolving credit facility, leveraging strong debt markets to extend debt maturities and possibly enable future share buybacks. California regulatory approval has been obtained, though the deal’s success depends on market conditions and customary closing requirements.

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