Pru-Shelf Facility
When opportunity strikes, be prepared. A Pru-Shelf facility provides companies with fast and efficient access to capital, flexible structure and terms, and competitive set-up and all-in costs, making it an exceptional financing vehicle for a wide variety of uses.
A Pru-Shelf facility allows you to access capital when you need it, without having to go through a lengthy documentation process. Business moves fast, and opportunities can pass by quickly; a Pru-Shelf facility is an excellent way to prepare yourself ahead of time. While the capital is not committed, it is legally documented up front, so that if an opportunity arises, and you have a borrowing need, you can quickly access capital from us. Thanks to pre-approval, we can respond very quickly to individual draw or loan requests.
With a Pru-Shelf, the rate indication is updated frequently after pre-approval, and the coupon is set shortly after a draw request, typically within several days. Funds are delivered just as quickly; usually within just a few weeks. A typical Pru-Shelf facility has a three-year horizon, during which you can make draw requests for a multitude of reasons, like an acquisition, a re-financing need, or growth capex. It's especially helpful in times of market volatility, when other financing sources may not be accessible. And best of all, you can customize your draws to fit your needs, whether it's different tenors, different currencies, or different amortization profiles.
If you want the peace of mind that the capital you need will be available when you need it, a Pru-Shelf might be a practical and strategic financing option for your business.
Typical size
- $10 million - $300 million
Typical uses
- Risk management
- Refinance debt
- Lock-in fixed rate
- Interest rate averaging
- Expansion and growth capital
- Acquisitions
- Opportunistic stock repurchasing
- Diversification of capital sources
Structural characteristics
- Can choose payment terms for each draw – customized amortization schedule and maturity
- Multiple draw capabilities – interest rate averaging vs. timing the market; customized debt to meet your operating objectives
- Draws can be funded in most major currencies
Issuer benefits
- No underwriting or registration fees
- No facility fees or unused commitment fees
- No agent fee
- One-time structuring fee to establish the Pru-Shelf
- Low issuance fee, payable at closing of each Pru-Shelf draw
Our Two Cents
PRU-SHELF BASICS
Hear Julie Langdon, Bill Engelking, Josh Shipley, and Tom Molzahn share how companies can utilize a Pru-Shelf to invest and grow more opportunistically.
“We continue to work with Prudential Private Capital because of the ease of doing business with the shelf offerings. If we need to have an expansion or if we need additional capital, it's a very simple transaction, and we know that Prudential will be there for us.”
Michelle Lewis, Chief Financial Officer, AAA Cooper Transportation
OUR PEOPLE
Business moves
fast. Shouldn’t your
capital keep up?
“We‘re a partner who will be opportunistic with you – making the capital you need available for that acquisition you want to make or whatever comes your way.”
JULIE LANGDON
DIRECTOR
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