Vonage Holdings, a provider of cloud communications services for businesses, completed the acquisition of privately-held Nexmo. JPMorgan Chase served as administrative agent for a $450 million credit facility to support the transaction.

San Francisco-based Nexmo provides application program interfaces for text messaging and voice communications, allowing developers and enterprises to embed contextual, programmable communications into mobile apps, websites and business systems, creating better customer engagement and integrated workflows.

“We are excited to complete the Nexmo acquisition, which positions Vonage as among the largest and fastest growing cloud communications companies in the world. This transaction combines the best of UCaaS with the best of CPaaS to deliver the most complete product offering in cloud communications,” said Alan Masarek, Vonage CEO. “Not only does Nexmo expand our total addressable market, but we have acquired a cutting-edge technology company that is redefining how enterprises communicate with their customers via text, social media, voice and chat.”

The new facility consists of a four-year, $125 million senior secured term loan and a $325 million revolving credit facility, both bearing interest at LIBOR+2.50% to 3.25% depending on total leverage, and matures in 2020. Proceeds from the new credit facility were used to finance the acquisition of Nexmo and repay the approximately $198 million outstanding under Vonage’s existing credit facility. The new facility also provides unused revolver capacity which, together with Vonage’s free cash flow generation, represents strategic flexibility for investments in growth, including additional acquisitions.

The lenders under the credit facility include, in addition to JPMorgan, Citizens Bank, Fifth Third Bank, MUFG Union Bank, Santander Bank, Silicon Valley Bank, SunTrust Bank and Keybank.