Jack in the Box announced that one of its indirect, limited-purpose subsidiaries completed the sale of $500 million of Series 2026-1 7.624% Fixed Rate Senior Secured Notes, Class A-2.
The company said the net proceeds from the sale of the 2026 notes are expected to be used to repay in full its existing Series 2019-1 4.476% Fixed Rate Senior Secured Notes, Class A-2-II.
The proceeds are also expected to repay a portion of the Series 2022-1 3.445% Fixed Rate Senior Secured Notes, Class A-2-I.
Jack in the Box said the refinancing clears its near-term maturities, with its next anticipated repayment date in 2029.
The transaction is part of the company’s “JACK on Track” plan, which is focused on maintaining a strong balance sheet, reducing debt, and supporting long-term value creation.
The company’s Master Issuer also entered into a purchase agreement to issue up to $150 million of Series 2026-1 Variable Funding Senior Secured Notes, Class A-1.
The Class A-1 notes will allow the Master Issuer to borrow amounts from time to time on a revolving basis.
The new Class A-1 notes will replace Jack in the Box’s existing $150 million Series 2022-1 Variable Funding Senior Secured Notes, Class A-1.
Jack in the Box is headquartered in San Diego, California.
The company operates and franchises Jack in the Box, one of the nation’s largest hamburger chains, with about 2,128 restaurants across 24 states, Guam, and Mexico.
KEY QUOTE:
“The successful completion of this refinancing demonstrates our commitment to maintaining a strong balance sheet and reducing debt as part of our ‘JACK on Track’ plan. We are pleased to have cleared our near-term maturities, with our next anticipated repayment date in 2029, supporting our focus on sustainable value creation.”
Mark King, Executive Chairman and Interim CEO of Jack in the Box
