Pike Electric gets $200 million revolver led by Regions Capital

By Sara Rosenberg

New York, Aug. 30 - Pike Electric Corp. closed on a new $200 million four-year secured revolving credit facility, according to an 8-K filed with the Securities and Exchange Commission on Tuesday.

Regions Capital Markets acted as the lead arranger and administrative agent on the deal that was completed on Aug. 24.

Pricing on the revolver can range from Libor plus 200 basis points to 300 bps and the commitment fee can range from 37.5 bps to 62.5 bps, based on leverage.

There is a $75 million accordion feature.

Covenants include a maximum leverage ratio of 3.75 to 1.0, declining to 3.50 on June 30, 2013 and 3.00 and thereafter, and a minimum consolidated fixed charge coverage ratio of 1.25 to 1.0.

Proceeds were used to replace an existing credit facility and are available for general corporate purposes, including acquisitions, dividends and stock repurchases, capital expenditures and working capital.

At close, there was about $115 million borrowed under the revolver.

Pike Electric is a Mount Airy, N.C.-based energy solutions for utilities, municipalities and co-operatives.

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