Case Study · Term Loan B
Blue Compass RV Refinances Its Term Loan B
$650mm 7yr Senior Secured Term Loan B
February 2026
- Blue Compass RV (f/k/a RV Retailer, LLC), the Redwood Capital-backed RV dealer group, priced on 2/6/26 a $650mm 7yr covenant-lite TLB at SOFR + 450bps and 98.5 via JPMorgan
- The proceeds of the TLB, along with new equity and proceeds from real estate financing, were used to repay Blue Compass’ existing TLB
- The retired loan was issued at $420mm in Jan-21 (L+400, 99) to recapitalize the company and fund dealership acquisitions
- The loan was upsized twice within 12 months to fund M&A, adding $180mm in Jul-21 and $200mm in Jan-22
- Despite a credit profile that has been substantially weakened by industry headwinds, Blue Compass was able to price a new TLB at a similar cost of capital and reset the maturity to 2033
- Moody's upgraded the issuer to B3 from Caa1 ahead of launch, citing an “improved capital structure”; S&P revised its outlook to positive, forecasting improved leverage
| Term Loan History | Jan-21 | Jul-21 | Jan-22 | Feb-26 |
|---|---|---|---|---|
| Transaction | New Issue | Add-On + DDTL | Add-On + Repricing | Refinancing |
| New Debt | $420mm | $180mm | $200mm | $650mm |
| Facility Size | $420mm | $600mm | $796mm | $650mm |
| Spread | 400 bps | 400 bps | 375 bps | 450 bps |
| Issue Price | 99.00 | 99.25 | 99.50 | 98.50 |
| Launch to Close | 9 days | 9 days | 7 days | 4 days |
| Launch Terms | Term Loan B |
|---|---|
| Pricing Date | February 6, 2026 |
| Borrower | Blue Compass RV |
| Corporate Ratings | B- / B3 |
| Facility Ratings | B / B3 |
| Issue | Senior Secured Term Loan B |
| Amount | $650mm |
| MaturityTenor | February 20337yr |
| SOFR FloorYield at Pricing | 0.00%8.73% |
| PricingIssue Price | SOFR + 450 bps98.50 |
Note: Jan-22 facility size = $596mm repriced plus $200mm add-on.
Sources: S&P Global Ratings research update (2/2/26); PitchBook Credit News (1/14/21 – 2/5/26), including Moody's commentary.
Case studies are prepared by Trackhawk Advisors from the sources cited on each page. They are for information only and are not investment advice or a recommendation to buy or sell any security.
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