Goldman Sachs Group Inc. has further sweetened terms on a $1.25 billion financing package for Arclin Inc.'s acquisition of DuPont de Nemours Inc.'s Aramids business as leveraged loan market conditions deteriorate. The term loan B is now being offered at 92 cents on the dollar, down from 93-94 cents disclosed earlier this month, according to a person familiar with the matter.

Lender commitments were initially due February 27 but have been extended to 3 p.m. Wednesday in New York. The leveraged-loan market has weakened sharply amid an AI-driven selloff, with average secondary prices hitting their lowest level since 2023. February saw launches plunge to their lowest level in nearly a year.

The financing structure has undergone multiple revisions, with the term loan B size fluctuating before settling at $1.25 billion alongside $645 million in TLA and $935 million in senior secured debt. Arclin agreed in August to acquire the Aramids business for about $1.8 billion, with the deal expected to close this month.