Groupon said it entered into a credit agreement with JPMorgan Chase Bank as administrative agent. The credit agreement provides for a $250 million senior secured revolving line of credit for a term of three years. The proceeds may be used for general corporate purposes.

According to the 8K dated August 5, 2014, JPMorgan was joined by Morgan Stanley Senior Funding as syndication agent, as well as J.P. Morgan Securities and Morgan Stanley Senior Funding as joint bookrunners and joint lead arrangers.

Borrowings under the credit agreement will bear interest at a rate equal to, at the company’s option, either: a) an adjusted LIBOR rate; or b) a customary base rate; in each case with an applicable spread to be determined based on the company’s leverage ratio at the end of the most recent fiscal quarter. The applicable spread for borrowings under the credit agreement will range from 1.25% to 2.00% with respect to adjusted LIBOR rate borrowings and 0.25% to 1.00% with respect to customary base rate borrowings. Additionally, the Company will pay a commitment fee ranging from 0.20% to 0.35% on the daily amount of the unused commitments under the credit agreement payable in arrears at the end of each fiscal quarter.