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Adient (NYSE: ADNT) lowers interest margins on $624M term loan facility

Filing Impact
(Moderate)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

Adient plc and its subsidiaries amended their existing Term Loan Credit Agreement effective January 15, 2026. The Amendment reduces the interest rate margin to 2.00% for Term SOFR loans and 1.00% for Base Rate loans under the facility. Total loans outstanding under the Credit Agreement remained at $624,000,000 as of the amendment effective date, so the change focuses on pricing rather than principal. The obligations under the Credit Agreement continue to be guaranteed on a secured basis by Adient plc and certain of its material wholly owned restricted subsidiaries.

Positive

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Negative

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Insights

Adient cut margins on a $624M term loan, improving borrowing terms.

Adient plc amended its Term Loan Credit Agreement covering outstanding loans of $624,000,000. The key change is a lower interest rate margin, now 2.00% on Term SOFR loans and 1.00% on Base Rate loans. Principal amounts and the core structure of the facility appear unchanged in the excerpt.

This kind of repricing usually reflects a stronger credit profile or improved market conditions for the borrower, though the prior margin is not stated here. The agreement remains secured and guaranteed by the parent and certain material wholly owned restricted subsidiaries, so the lender protection framework is maintained.

Over time, the lower margins on $624,000,000 of term loans can reduce interest expense relative to the previous terms. Future periodic reports may quantify any resulting interest cost changes and show how they affect net income and cash flows.

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934

Date of Report (date of earliest event reported): January 15, 2026

ADIENT PLC
(Exact name of registrant as specified in its charter)

Ireland001-3775798-1328821
(State or Other Jurisdiction of Incorporation)(Commission File Number)(IRS Employer Identification Number)
 25, North Wall Quay
Dublin 1, Ireland D01 H104
(Address of principal executive offices)

Registrant’s telephone number, including area code: 734-254-5000

Not applicable
(Former name or former address, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:
Title of classTrading symbol(s)Name of exchange on which registered
Ordinary Shares, par value $0.001ADNTNew York Stock Exchange


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrants under any of the following provisions (see General Instruction A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17     CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))




Indicate by check mark whether the Registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company

If an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐




Item 1.01.Entry into a Material Definitive Agreement.

On January 15, 2026 (the “Amendment Effective Date”), Adient US LLC, a Michigan limited liability company (the “Lead Borrower”), Adient Global Holdings S.à.r.l., a private limited liability company (société à responsabilité limitée) incorporated under the laws of the Grand Duchy of Luxembourg (together with the Lead Borrower, the “Borrowers” and each, a “Borrower”), Adient plc (“Parent”) and certain of Parent’s other subsidiaries entered into an amendment (the “Amendment”) to the Term Loan Credit Agreement, dated as of May 6, 2019 (as amended prior to the Amendment Effective Date, the “Existing Credit Agreement” and, as amended by the Amendment, the “Credit Agreement”), among the Borrowers, each of the lenders identified therein and Bank of America, N.A., as administrative agent and collateral agent (the “Agent”).

The Amendment, among other changes, reduces the interest rate margin applicable thereunder to 2.00%, in the case of Term SOFR loans, and 1.00%, in the case of Base Rate loans. The total loans outstanding under the Credit Agreement as of the Amendment Effective Date of $624,000,000 remained unchanged. The obligations under the Credit Agreement continue to be guaranteed on a secured basis by Parent and certain of its material wholly-owned restricted subsidiaries.

The foregoing description of the Amendment does not purport to be complete and is subject to, and qualified in its entirety by, the full text of the Amendment, which is attached as Exhibit 10.1 to this Current Report on Form 8-K and incorporated by reference herein.

Item 2.03Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant
The information set forth under Item 1.01 is incorporated into this Item 2.03 by reference.

Item 9.01    Financial Statements and Exhibits.

(d) Exhibits.
EXHIBIT INDEX
Exhibit No.Exhibit Description
10.1
Amendment No. 5 dated January 15, 2026 to the Term Loan Credit Agreement dated as of May 6, 2019, among the Borrowers, the lenders party hereto, and the Agent.
104Cover Page Interactive Data File (the Cover Page Interactive Data File is embedded within the Inline XBRL document).



SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

ADIENT PLC
Date: January 16, 2026By:/s/ Heather M. Tiltmann
Name:Heather M. Tiltmann
Title:
Executive Vice President, Chief Legal and Human Resources Officer, and Corporate Secretary


FAQ

What did Adient (ADNT) change in its term loan agreement?

Adient and certain subsidiaries entered into an Amendment to their Term Loan Credit Agreement that reduces the interest rate margin on the loans while keeping the existing term loan principal outstanding.

What are the new interest rate margins under Adient's amended credit agreement?

Under the Amendment, the interest rate margin is now 2.00% for Term SOFR loans and 1.00% for Base Rate loans under the Credit Agreement.

How much debt is outstanding under Adient's amended credit agreement?

The total loans outstanding under the Credit Agreement remained at $624,000,000 as of the January 15, 2026 amendment effective date.

Do Adient's guarantees and security change under the amended credit agreement?

No. The obligations under the Credit Agreement continue to be guaranteed on a secured basis by Adient plc and certain of its material wholly owned restricted subsidiaries.

Who are the main parties to Adient's amended term loan facility?

The Borrowers are Adient US LLC and Adient Global Holdings S.à r.l., with Adient plc as parent, various lenders, and Bank of America, N.A. serving as administrative agent and collateral agent.

Where can investors find the full text of Adient's loan amendment?

The full text of the Amendment is filed as Exhibit 10.1 titled "Amendment No. 5" to the Term Loan Credit Agreement and is incorporated by reference.
Adient

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