Auto parts maker BorgWarner has announced that its acquisition of Delphi Technologies is back on track after the former threatened to end the transaction in March.
“The amended transaction agreement also provides for new closing conditions requiring that, at the time of the transaction closing, the total amount of Delphi Technologies’ outstanding revolver borrowings do not exceed $225 million, and net of its cash balances, do not exceed $115 million, and its net debt-to- adjusted EBITDA ratio does not exceed a specified threshold.”
BorgWarner Press Release
The terms of the revised deal reflected changes needed after Delphi drew down its $500M line of credit in March without BorgWarner’s approval.