Ping Identity gets $150 million five-year revolving credit facility

By Marisa Wong

Los Angeles, Dec. 13 – Ping Identity Holding Corp.’s wholly owned subsidiaries, Roaring Fork Intermediate, LLC and Ping Identity Corp., entered into a credit agreement on Thursday with Bank of America, NA as administrative agent and BofA Securities, Inc. and RBC Capital Markets as joint lead arrangers for $150 million of revolving credit loans.

Total commitments, which may be increased or decreased under specific circumstances, include a $15 million letter-of-credit sublimit and a $50 million alternative currency sublimit, according to an 8-K filing with the Securities and Exchange Commission.

In addition, the credit agreement allows the borrowers to request incremental term loan facilities in a minimum amount of $10 million for each facility if, among other things, the pro forma senior secured net leverage ratio is no greater than 3.5 to 1.0.

The credit facility matures on Dec. 12, 2024.

The revolver bears interest at Libor plus 125 basis points to 200 bps, depending on the senior secured net leverage ratio, subject to a 0% Libor floor.

The commitment fee ranges from 20 bps to 35 bps, also based on the leverage ratio.

The credit agreement requires the company to maintain a senior secured net leverage ratio of not more than 3.5 to 1.0 (or 4.0 to 1.0 during a fiscal year in which a material acquisition is completed) and a consolidated interest coverage ratio of not less than 3.5 to 1.0.

Borrowings may be used for working capital and other general corporate purposes, including acquisitions.

Ping Identity is a Denver-based identity management software company.

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