JPMorgan Agents New $1.5B H&R Block Credit Facility
H&R Block said its wholly owned subsidiary, Block Financial, entered into a new five-year, $1.5 billion credit and guarantee agreement, which will expire on Aug. 17, 2017 unless extended pursuant to the terms of the agreement. Funds available under the new agreement may be used for general corporate purposes or working capital needs.
According to a related 8-K filing, JPMorgan Chase was the administrative agent for the lender group that provided the financing.
“I’m very pleased to finalize a new, long-term agreement with our banking partners,” said Greg Macfarlane, H&R Block’s chief financial officer. “We believe this agreement gives us significant financial flexibility and further demonstrates the confidence our banking partners have in our business.”
H&R Block is the world’s largest tax services provider, having prepared more than 600 million tax returns worldwide since 1955. In fiscal 2012, the company had annual revenues of $2.9 billion and prepared 25.6 million tax returns worldwide.