Daily News: November 25, 2014

SunTrust Agents Stellus Revolver Amendment

Stellus Capital entered into a first amendment to its revolver between the company, SunTrust Bank as a lender and the administrative agent, and the lenders named therein.

The amendment, among other things extends the maturity date of the facility from November 14, 2016 to October 1, 2018, extends the revolving period from November 12, 2015 to October 1, 2017, and reduces the applicable margin rate for LIBOR-based loans from 3.00% per annum to 2.625% per annum and reduces the applicable margin rate for other loans, which are based on a reference rate instead of LIBOR, from 2.00% per annum to 1.625% per annum.

The amendment also reduces the initial aggregate commitments under the facility to $120 million, but includes an accordion feature allowing the company to increase the aggregate commitments up to $195 million, subject to new or existing lenders agreeing to participate in the increase and other customary
conditions. There can be no assurances that existing lenders will agree to such an increase, or that additional lenders will join the facility to increase available borrowings.

“We are pleased to have completed this amendment of our Credit Facility which will extend the facility by approximately two years, lower the LIBOR-based rate from 3.00% to 2.625% and size the facility for our current capital base,” said Robert T. Ladd, Chief Executive Officer of the company.