USA. OTG Management, a leading provider of dining in airports and hospitality locations in North America, has successfully completed a new round of financing. The US$1.25 billion of new senior secured debt will allow the company to target expansion opportunities.
OTG said that the move will provide the company with liquidity and flexibility as well as additional committed capital to continue technological innovation, development of new markets, dining concepts, and airport locations.
“We now have the committed growth capital to execute on our long-term strategic plan, at a time when the travel industry is poised to regain normalcy after the shut-downs caused by the COVID-19 pandemic,” said OTG Chief Executive Officer Rick Blatstein.
“As OTG continues to learn the preferences of travellers and guests, this move positions us to offer innovative solutions to meet their evolving demands, safely and efficiently – whenever they are away from home.”
OTG’s refinancing was led by funds managed by affiliates of Centerbridge Partners, L.P.; Oaktree Capital Management; L.P. Sculptor Capital Management, Inc; CPPIB Credit Americas, Inc; and Oak Hill Advisors, L.P.
The new facility is comprised of a US$1.05 billion First Lien Senior Secured Term Loan and a US$200 million Delayed Draw Term Loan Facility.
Centerbridge and Oaktree jointly stated, “We are excited to partner with OTG as it continues to provide an excellent customer experience for travellers. We look forward to supporting OTG’s goals to grow and innovate the airport experience.”
Moelis & Company acted as exclusive financial advisor and placement agent to OTG for this transaction.
About OTG Management
OTG develops and operates restaurants and retail markets in airports throughout North America. It has 350 locations across 22 terminals in ten of the world’s busiest airports. See OTGexp.com.