Vistaprint enters into $250 million unsecured revolving facility

By Jennifer Chiou

New York, Oct. 26 - Vistaprint NV entered into on Oct. 21 a credit agreement providing for a $250 million unsecured revolving credit facility via JPMorgan Chase Bank NA as administrative agent, HSBC Bank USA, NA as syndication agent; RBS Citizens, NA as documentation agent and J.P. Morgan Securities LLC as bookrunner and lead arranger, according to an 8-K filing with the Securities and Exchange Commission.

Subsidiaries Vistaprint Ltd., Vistaprint Schweiz GmbH and Vistaprint BV make up the other borrowers.

The facility will mature on Oct. 21, 2016.

Up to $50 million of borrowings may be made in euros, Swiss francs and other agreed-upon currencies.

There are also letter-of-credit and swingline loan sublimits of $25 million each, the filing noted.

Vistaprint may increase commitments by up to $150 million.

Borrowings will be used for working capital, capital expenditures and other general corporate purposes, including share repurchases and mergers and acquisitions.

Drawn amounts will bear interest at Libor plus 125 basis points to 150 bps and commitment fees range from 17.5 bps to 22.5 bps, depending on leverage.

Financial covenants state that Vistaprint's consolidated leverage ratio may not exceed 3.5 times its consolidated EBITDA.

In addition, the company's consolidated senior leverage ratio is capped at 2.75 times and the interest coverage ratio must be at least 3.0.

In other news, the company entered into on Monday a share purchase agreement with Albumprinter Beheer BV, under which Vistaprint will purchase all of Albumprinter's shares for a total consideration of up to €65 million.

Vistaprint is a Venlo, The Netherlands, online provider of marketing products and services

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