Installed Building Products, Inc., an industry-leading installer of insulation and other complementary building products, has entered into a new five year, $200 million senior secured credit facility with an accordion feature allowing the company to increase the borrowing capacity to $225 million, subject to certain approvals. The credit facility consists of a $100 million revolving line of credit, a $50 million term loan, and a $50 million delayed draw term loan.

Borrowings under the senior credit facility will bear interest at a rate of LIBOR plus a spread of 1.25% to 2.25%, depending on IBP’s leverage ratio. The new credit facility will be available for general corporate purposes and growth initiatives. This new credit facility replaces the company’s prior $75 million revolver and $25 million term loan.

“This expanded credit facility provides us with an attractive source of capital and further enhances our ability to continue growing our operations in select markets across the United States,” stated Michael Miller, IBP’s Chief Financial Officer. “We are pleased with the terms of the facility and encouraged by the strong support from our lenders in completing this transaction.”

The credit facility was led by a syndicate of financial institutions including KeyBank National Association as joint lead arranger, sole book runner and administrative agent, SunTrust Bank as joint lead arranger and co-syndication agent, Regions Bank, US Bank, Royal Bank of Canada, Associated Bank, Branch Banking & Trust Company and The Huntington National Bank.

Installed Building Products, Inc. is the nation's second largest insulation installer for the residential new construction market and also a diversified installer of complementary building products, including garage doors, rain gutters, shower doors, closet shelving and mirrors, throughout the United States. The Company manages all aspects of the installation process for its customers, including direct purchases of materials from national manufacturers, supply of materials to job sites and quality installation.