GP Strategies Corporation issued the following announcement on Dec. 5.
Global performance improvement solutions provider GP Strategies Corporation (NYSE: GPX) announced today that it has entered into a new five-year $200 million credit facility with a syndicate of lenders led by PNC Capital Markets LLC and Wells Fargo Securities, LLC, as joint lead arrangers, and PNC Bank, National Association, as administrative agent. The new credit facility includes a $200 million revolving line of credit and an accordion feature allowing the Company to increase commitments to the credit facility by up to an additional $100 million. Borrowings under the Company’s prior credit agreement were refinanced in full.
The new credit facility has a five-year term which expires in November 2023, with no scheduled payments of principal until maturity, and bears interest at variable market rates, as defined in the agreement, plus a spread based on the Company’s leverage ratio. Interest rates on the new credit facility are reduced between 25 and 50 basis points compared to its prior credit facility, depending on the Company’s current leverage ratio.
“We are very pleased with our new credit facility which provides us more favorable terms than our previous credit facility and will give us the capability to execute our long-term growth strategy,” said Michael Dugan, Chief Financial Officer of GP Strategies Corporation.
As of November 30, 2018, after entering into the new credit facility, the Company had $128.0 million of borrowings outstanding and cash balances totaling $25.0 million.
Original source can be found here.
Source: GP Strategies Corporation
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