Kayne Anderson Energy Increases Facility to $95MM
Kayne Anderson Energy Development said it has amended its secured revolving credit facility to increase the total commitment amount from $85 million to $95 million. This $10 million increase in commitment amount was accomplished by adding a new lender, the Bank of Nova Scotia, to the syndicate.
All other terms of the credit facility remain the same. The maturity date is March 30, 2014, and outstanding loan balances accrue interest daily at a rate equal to LIBOR plus 2%, based on the current borrowings and the current borrowing base.
If borrowings exceed the borrowing base attributable to “quoted” securities (generally defined as equity investments in public MLPs and investments in bank debt and high yield bonds which are traded), the interest rate will increase to LIBOR plus 3%. The company pays a fee of 0.50% on any unused amounts of the credit facility.
As of March 11, 2013, the company had $68 million in borrowings outstanding under the credit facility.
A copy of the amended credit agreement is available on the company’s website.