GLENDALE Calif. IHOP Corp. subsidiaries have priced a $200 million private debt offering, the company said Thursday. The funds will be used to repay IHOP's existing debt and to fund share repurchases, the company said.
The private securitization includes $175 million in fixed-rate notes and a revolving credit facility of $25 million in variable funding notes. The fixed-rate notes will have an interest rate of 5.14 percent and an expected life of five years, the company said. The offering is expected to close on or near March 16.
IHOP said the notes are being issued by indirect subsidiaries of the Glendale-based company that hold substantially all of the intellectual property and franchising assets of the IHOP system. IHOP franchises or operates about 1,302 family-dining restaurants.