Debt

3 Months Ended

Mar. 31, 2024

Debt Disclosure [Abstract]

Debt

14. Debt

			Carrying amount
	Weighted Average Interest Rate % 1		March 31, 2024		December 31, 2023
Short-term debt			$	24.8	$	13.7
Long-term debt:
Term loans (maturing September 2026):
Term Loan A Facility loan denominated in Canadian dollars, secured ("CAD TLA Facility")	7.89	%	80.1		83.1
Term Loan A Facility loan denominated in US dollars, secured ("USD TLA Facility")	7.94	%	1,525.0		1,675.0
Less: unamortized debt issuance costs			(12.3)		(15.0)
Senior secured and unsecured notes:
6.75% Senior secured notes due in March 2028 (the "2023 Secured Notes")			550.0		550.0
Less: unamortized debt issuance costs			(6.4)		(6.8)
7.75% Senior unsecured notes due in March 2031 (the "2023 Unsecured Notes")			800.0		800.0
Less: unamortized debt issuance costs			(10.2)		(10.5)
Total long-term debt			2,926.2		3,075.8
Total debt			$	2,951.0	$	3,089.5
Long-term debt:
Current portion			$	4.4	$	14.2
Non-current portion			2,921.8		3,061.6
Total long-term debt			$	2,926.2	$	3,075.8

1 The weighted average interest rate reflects the rate at the end of the period for the debt outstanding

At March 31, 2024, the Company had unused committed revolving credit facilities aggregating $712.8 million that are available until September 2026, subject to certain covenant restrictions and unused uncommitted revolving credit facilities aggregating $5.0 million with no maturity date. The Company was in compliance with all financial and other covenants applicable to the credit facilities at March 31, 2024.

Short-term Debt

Short-term debt is comprised of drawings in different currencies on the Company’s committed revolving credit facilities and has a weighted average interest rate of 7.4% at March 31, 2024 (December 31, 2023: 5.4%).

Long-term Debt

a)Term Loans

During 2016, the Company entered into a credit agreement with a syndicate of lenders (as amended and restated, supplemented or otherwise modified from time to time, the “Credit Agreement”). The Credit Agreement is comprised of multicurrency revolving facilities (the “Revolving Facilities”) and the Term Loan A facility (the “TLA Facility”). The TLA Facility is comprised of a facility denominated in US dollars (“USD TLA Facility”) and a facility denominated in Canadian dollars (“CAD TLA Facility”). The Credit Agreement matures on September 21, 2026.

On March 20, 2023, with the closing of the acquisition of IAA, the USD TLA Facility was funded for $1.8 billion and the existing delayed-draw term facility of CAD $115.9 million was refinanced and converted to the CAD TLA Facility. The TLA Facility loans are subject to quarterly installments of 1.25% of principal, with the balance payable at maturity. During the three months ended March 31, 2024, the Company repaid $150.0 million of principal on the USD TLA Facility. As of March 31, 2024, there are no mandatory principal repayments remaining on the USD TLA Facility until maturity of the debt.

b)Senior Secured and Unsecured Notes

On March 15, 2023, the Company completed the offering of (i) $550.0 million aggregate principal amount of 6.750% senior secured notes due March 15, 2028 (the “2023 Secured Notes”) and (ii) $800.0 million aggregate principal amount of 7.750% senior unsecured notes due March 15, 2031 (the “2023 Unsecured Notes”, and together with the 2023 Secured Notes, the “2023 Notes”). The gross proceeds of the 2023 Notes were released from escrow on March 20, 2023 and were used, along with the TLA Facility, to fund the acquisition of IAA.

Interest on the 2023 Notes is payable in cash semi-annually in arrears on March 15 and September 15 of each year, and began on September 15, 2023. The 2023 Secured Notes are jointly and severally guaranteed on a senior secured basis and the 2023 Unsecured Notes are jointly and severally guaranteed on a senior unsecured basis by certain of the Company’s subsidiaries.