Completes $1.1 Billion Senior Secured Notes Offering, Refinancing Existing Debt at Lower Rates and Extended Maturities

summarizeSummary

Cooper-Standard Holdings Inc. finalized a $1.1 billion senior secured notes offering, successfully refinancing existing higher-cost and shorter-term debt, which is a strong positive for its financial health and liquidity.

check_boxKey Events

• New Senior Secured Notes Issued

  Cooper-Standard Automotive Inc., a subsidiary, issued $1.1 billion aggregate principal amount of 9.250% Senior Secured First Lien Notes due March 1, 2031. These notes are senior secured obligations, guaranteed by domestic subsidiaries on a first-priority basis on fixed assets and a second-priority basis on ABL collateral, and by Cooper-Standard Latin America B.V. on a senior unsecured basis.

• Existing Debt Redeemed

  The proceeds from the new notes, combined with cash on hand, were used to redeem all outstanding existing notes, totaling approximately $1.05 billion in principal. This included $616.9 million of 13.50% notes due 2027, $391.8 million of 5.625%/10.625% PIK notes due 2027, and $42.6 million of 5.625% notes due 2026. No existing notes remain outstanding.

• ABL Facility Amended

  The company also entered into Amendment No. 5 to its Third Amended and Restated Loan Agreement, which modifies the guarantors by releasing certain foreign subsidiary guarantees and adjusts certain negative covenants.

auto_awesomeAnalysis

Cooper-Standard Holdings Inc. has successfully completed a significant financial restructuring by issuing $1.1 billion in new 9.250% Senior Secured First Lien Notes due 2031. This transaction, which follows the pricing announcement on February 20, 2026, is highly positive as it refinances a substantial portion of the company's existing debt, including $616.9 million of 13.50% notes and $391.8 million of 5.625%/10.625% PIK notes, both due 2027, as well as $42.6 million of 5.625% notes due 2026. The new notes offer a lower cash interest rate compared to the largest tranche of old debt and extend the maturity profile, significantly improving the company's financial stability and liquidity runway. The simultaneous amendment to the ABL facility, including the release of guarantees from certain foreign subsidiaries, further streamlines the company's debt structure.