Quantum Refinances $49 Million on Improved Terms With WFCF
Quantum Corp., a global expert in data protection and big data management, announced that it has paid down $20 million of its senior debt and refinanced the remaining $49 million as part of a new five-year credit agreement with Wells Fargo Capital Finance, LLC.
That agreement includes a $55 million revolving line of credit and a $20 million revolver sub-facility, with terms that give Quantum greater operational flexibility. In addition, the refinancing is expected to save the company approximately $2 million in annual interest expense and bank fees, beginning with fiscal year 2013 (starts April 1, 2012).
“This is an important milestone for Quantum, demonstrating how far we’ve come in strengthening our balance sheet over the past several years,” said Linda Breard, senior vice president and CFO of Quantum. “This progress also reflects the significant improvement we’ve made in growing our branded business and positioning the company as a key player in some of the most vibrant segments of storage – data deduplication, virtual machine and cloud-based data protection, and big data management. During the last six months, we’ve introduced new solutions in each of these market segments, incorporating industry-leading technologies that provide customers with better, more cost-effective options for meeting their IT and business needs.”