Hopefully someone here will be able to help me out on this one.
Been reviewing the half yearly result and I am looking for information on why Resmed has gone to the effort of increasing their credit facility from ~300m to ~430m.
I understand that it is US debt and due to the quality of the companies balance sheet and earnings power that the interest rate is rock bottom low at 1.2%...but with the cash balance approaching $1bn what is the need for this?
Is this a case of getting the bankers on their side in case of future need?
Time to do a bit more digging...
RMD Price at posting:
$4.98 Sentiment: LT Buy Disclosure: Held