Franchise Group enters five-year $125 million ABL credit facility

By Wendy Van Sickle

Columbus, Ohio, Sept. 28 – Franchise Group Intermediate Holdco, LLC entered into a five-year credit agreement on Sept. 23 providing for an up to $125 million asset-based revolving loan facility, according to an 8-K filing with the Securities and Exchange Commission.

There is a $15 million swingline subfacility and a $15 million letter-of-credit subfacility.

Borrowings bear interest at Libor plus 350 basis points to 375 bps, depending on total leverage ratio, with a 1% Libor floor.

Total availability is subject to a borrowing base.

Citizens Bank, NA is the administrative agent, lead arranger and bookrunner.

About $23 million was drawn on the facility at closing. Proceeds may be used for general corporate purposes.

Based in Virginia Beach, Va., Franchise Group offers tax preparation services.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.