Main Street Capital announced the amendment of its five-year credit facility. The recently closed amendment provides several benefits to Main Street, including a reduced interest rate on borrowings to the applicable LIBOR rate plus 1.875% so long as Main Street maintains an investment grade rating and satisfies certain agreed upon excess collateral and leverage requirements.

According to a related 8-K filing, BB&T served as administrative agent of a lender group comprised of Royal Bank of Canada, Frost Bank, Whitney Bank, Amegy Bank, Capital One, Texas Capital Bank, Cadence Bank, Goldman Sachs, Comerica Bank, Trustmark National Bank, Raymond James Bank, First Financial Bank and BOKF.

The amendment also provides an extension of the final maturity by one year to September 2020, with the facility available on a fully revolving basis for the entire term, and a significant increase in the amount of unsecured debt Main Street is permitted to incur, providing Main Street additional financial flexibility in its capital structure.

The amended Credit Facility includes the participation of fourteen banks with total commitments of $555.0 million and an accordion feature that allows for an increase in total commitments of up to $750.0 million from new and existing lenders on the same terms and conditions as the existing commitments.

In addition to the extended maturity, Main Street continues to maintain two, one-year extension options under the amended Credit Facility which could extend the final maturity of the facility for up to two additional years.