International Flavors & Fragrances Inc. (IFF) has entered into a $1 billion senior unsecured delayed draw term loan credit agreement with Wells Fargo Bank, National Association, strengthening its liquidity as it prepares to refinance debt maturing later this year, per media reports.
The facility allows IFF to make a single borrowing through September 25, 2026, with the loan maturing on December 31, 2027. Proceeds, together with cash on hand, will be used to refinance the company's €800 million 1.800% Senior Notes due September 25, 2026, extending debt maturities and improving financial flexibility.
The agreement also requires IFF to use 100% of the net proceeds from the planned sale of a material portion of its food ingredients business to repay outstanding borrowings. The divestiture is expected to generate approximately $3.8 billion in net cash proceeds and is anticipated to close by the end of the second quarter of 2027, further supporting the company's ongoing balance sheet optimization strategy.
