Tempur Sealy in Extension of $605 Million of Existing Term Loan A and New $1.6 Billion Term Loan B

Cleary Gottlieb represented Tempur Sealy International Inc. (Tempur Sealy) in amendments to its existing credit agreement, proceeds from which are expected to fund its pending acquisition of Mattress Firm.

The amendments extend the availability period of $605 million of Tempur Sealy’s existing Delayed Draw Term Loan A commitments until October 24, 2025, and provide for a new $1.6 billion incremental Term Loan B. The proceeds of Term Loan B were funded into escrow and are to be released to finance Tempur Sealy’s acquisition of Mattress Firm.

Bank of America N.A. serves as administrative agent under the credit agreement for a syndicate of lenders. J.P. Morgan Chase Bank, N.A. serves as escrow agent.

The amendments closed on October 24, 2024.

Tempur Sealy is the world’s largest bedding provider and develops, manufactures, and markets mattresses, adjustable bases, pillows, and other sleep and relaxation products.