Oscar Health reduces revolver commitments to $115 million, extends to 2025

By Mary Katherine Stinson

Lexington, Ky., Dec. 29 – Oscar Health, Inc. entered into the third amendment to its credit agreement with Wells Fargo Bank, NA as administrative agent on Dec. 28, according to an 8-K filing with the Securities and Exchange Commission.

The revolving loan facility was amended to extend its maturity date to Dec. 28, 2025 and to decrease the total commitments to $115 million.

The amended agreement retains the ability for the company to increase commitments under the revolver by an amount not to exceed $50 million, subject to customary closing conditions.

Pricing under the amended agreement is substantially similar to the previous agreement, with outstanding loans continuing to bear interest at adjusted term SOFR plus 450 basis points.

According to financial covenants contained in the amended agreement, the company may not permit liquidity as of the last day of any fiscal quarter or, if the revolver is drawn by more than 60% as of the last day of any fiscal month, to be less than an amount equal to the total revolving commitments.

Oscar Health is a New York City-based health insurance company.

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