Higher One Enters Into $200 Million Revolver With BofA
Higher One Holdings, Inc. announced that its wholly owned subsidiary, Higher One, Inc., entered into a new five-year senior secured revolving credit facility in the amount of $200 million with Bank of America as administrative agent and other lenders.
The amount available to be drawn under the credit agreement may be increased by an additional $100 million upon Higher One’s request and the agreement of the lenders party to the credit agreement. This new credit facility replaces the company’s existing $50 million revolving credit facility. The facility will bear interest at floating rates, plus a margin based on the leverage ratio of the company.
“This new credit facility should continue to provide us with liquidity within a strong capital structure,” said Mark Volchek, CEO of Higher One. “It allows us to continue to make necessary investments to grow the business and opportunistically repurchase shares of the company while maintaining the financial flexibility to capitalize on future strategic opportunities.”
Higher One Holdings, Inc. is a company focused on creating cost-saving efficiencies for higher education institutions and providing high-value services to students.