Radiant Logistics gets $150 million revolver at Libor plus 200 bps

By Sarah Lizee

Olympia, Wash., March 16 – Radiant Logistics, Inc. secured a new $150 million five-year syndicated secured revolving credit facility to replace its existing $75 million revolving facility, according to a press release.

The secured facility enhances the company's financial flexibility, providing increased capacity to fund future acquisitions, capital expenditures or for other corporate purposes, including, if warranted at the time, the repurchases of the company's common stock, Radiant said.

BofA Securities, Inc. acted as the bookrunner and lead arranger. Bank of Montreal acted as lender and syndication agent. MUFG Union Bank, NA acted as lender and documentation agent. Bank of America, NA will serve as administrative agent.

There is a $50 million accordion feature.

Interest is Libor plus 200 basis points. The margin can range from 200 bps to 275 based on the company’s consolidated leverage ratio.

For general borrowings under the secured facility, the company is subject to a maximum consolidated leverage ratio of 3x and a minimum consolidated fixed charge coverage ratio of 1.25x.

Additional minimum availability requirements and financial covenants apply in the event the company seeks to use advances under the secured facility to pursue acquisitions or repurchase its common stock.

Under the terms of the secured facility, as of Dec. 31, the company had a consolidated leverage ratio of 1x and a consolidated fixed charge coverage ratio of 3.6x.

Concurrent with entering into new secured facility, the company also amended the term loans held by its Canadian lender, Fiera Private Debt Funds IV and V, to make the financial and other covenants therein consistent with those contained in the new secured facility. In addition, the security interest securing such term loans were made to be on a parity basis with those assets securing the new secured facility.

Radiant is a Bellevue, Wash.-based non-asset-based transportation and logistics services company that provides domestic and international freight-forwarding services.

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