Shearman And Sterling

News May 02, 2023

Travelodge’s £330 Million 10.250% Senior Secured Rate Notes and €250 Million Senior Secured Floating Rate Notes

Shearman & Sterling advised the initial purchasers in connection with Travelodge’s offering of £330 million 10.250% senior secured notes due 2028 and €250 million senior secured floating rate notes due 2028, issued by TVL Finance (the “Issuer”). The net proceeds of the offering were used together with cash on balance sheet to redeem the Issuer’s existing senior secured floating rate notes and its existing senior secured fixed rate notes and to repay a portion of the capitalized interest on Travelodge’s subordinated shareholder loans. The offering closed on April 28, 2023. Shearman & Sterling also advised the arrangers in connection with Travelodge's entry into new super senior revolving credit facilities agreement and intercreditor agreement.

Founded in 1985, Travelodge is the second-largest hotel brand in the United Kingdom based on the number of hotels and rooms operated. Travelodge leases, franchises, manages and owns over 590 hotels and approximately 46,000 rooms throughout the United Kingdom, Spain and Ireland. Travelodge is controlled by Golden Tree Asset Management.

The Team