Merit Medical signs for $700 million revolver, $150 million term loan

Chicago, June 8 – Merit Medical Systems, Inc. amended and restated its credit agreement on June 6 for a $700 million revolver and a $150 million term loan, according to an 8-K filing with the Securities and Exchange Commission.

The credit facility is inclusive of sub-facilities of up to $40 million for multicurrency borrowings, up to $40 million for standby letters of credit and up to $30 million for swingline loans.

The maturity date is June 6, 2028.

In terms of covenants, the company must not let its consolidated total net leverage ratio be greater than 4x on the last day of any fiscal quarter, except for a short-term exception for permitted acquisitions whereby it may increase to 4.5x. The consolidated interest coverage ratio should not be less than 3x.

Wells Fargo Bank, NA is the administrative agent, swingline lender and a lender.

Wells Fargo Securities, LLC, BofA Securities, Inc., HSBC Bank USA, NA, U.S. Bank NA and Truist Securities, Inc. are joint lead arrangers and joint bookrunners.

Bank of America, NA, HSBC Bank, U.S Bank and Truist Bank are the co-syndication agents, and TD Bank, NA is the documentation agent.

In addition to Wells Fargo Bank, Bank of America, NA, HSBC Bank, U.S. Bank, Truist Bank, TD Bank, Huntington Bank and Regions Bank participated on the credit agreement.

Proceeds were used to refinance the company’s credit agreement from July 31, 2019.

The company drew $242 million under the facility at closing.

South Jordan, Utah-based Merit makes disposable medical devices used in interventional and diagnostic procedures.

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