Replacement debt and refinancing cases

Methods and settings

Define one source and settlement date

Each case has a name, source facility/loan, refinance date, replacement draw, designated cash and Active flag. The date must fall within forecast and no later than the source’s effective maturity. It can be earlier than maturity. Only one active execution can refinance a source loan. Source movements on or after the proposed date must first be resolved in Financing, preventing simultaneous incompatible instructions for the same principal.

Configure a new replacement

New facility accepts Term Loan, Revolver / RCF or Other Facility, replacement name, commitment, annual rate, maturity and Amortization / year. Commitment must cover the replacement draw; the new maturity, when entered, must follow refinance date. Amortization is a fixed annual amount. Equity contribution, upfront fees and comment are separate case fields. Rates are entered assumptions, not automatically obtained market quotes.

Use an existing facility without double capacity

Existing facility must be different from the source facility, committed and available on the refinance date. Replacement loan terms still apply, while the facility’s actual commitment and usage constrain the draw. Selecting an existing facility does not add another copy of its commitment. An otherwise configured case can still fail if the draw exceeds genuine drawable capacity; fix the amount or terms at their source.

Edit replacement terms in the case

Executed cases appear in Financing as linked replacement facilities or loans. Their draw, interest and repayment use the ordinary debt schedule. Go to source links back to the case for changes; duplicating the generated replacement as a manually entered loan would double financing. Deactivating a case stops its execution while preserving assumptions. Removing or changing a source leaves the case explicitly unavailable rather than silently switching to another loan.

Validate dates and configuration

Up to 50 cases are supported. Monetary amounts are finite and nonnegative; annual replacement rates are 0–100%. Historical refinance dates and dates beyond the forecast are not executed. Blank replacement maturity means no case-specific maturity date, but an existing facility’s own earlier end can still limit the loan. These fields do not describe a legal debt agreement or automatically obtain a refinancing commitment.