Navistar Financial Obtains Additional Funding
May 30, 2014
Navistar Financial Corp. has completed an agreement for $100 million of additional funding in what it calls a “trade receivables securitization program.”
This affiliate of the truck and engine maker Navistar International, is being provided the funding by one of its relationship banks.
The securitization program will provide NFC with cash proceeds of up to $100 million through the on-going sale of its fleet receivables previously purchased from Navistar, according to the company.
"This transaction enhances Navistar's financial flexibility by providing an additional source of funding for NFC's operations," said Walter Borst, Navistar executive vice president and chief financial officer. "Consistent with improvements in capital markets, NFC has executed a number of successful transactions in recent months that will help reduce debt costs, enhance liquidity and improve working capital."
NFC provides financial programs and services for Navistar's dealer and customer equipment financing needs.