Session 02Exercise C
Session 02 · Capital Structure
The Refinancing
5-question capital structure exercise
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The announcement
Board briefing — capital structure update
The company has completed a refinancing of its debt facilities.
Previous structure
Revolving credit facility
$176m
Term loans
$702m
Total committed facilities
$878m
New structure
Revolving credit facility
$600m
Term loans (2 tranches)
$600m
Total committed facilities
$1.2bn
Five questions. Each one tests how you read a capital structure decision — the strategic intent, the board process, the covenant mechanics, and the implications for M&A, dividends, and capex.