Tennenbaum Leads SGI Term Loan
SGI announced it completed a $70 million three-and-a-half-year term loan financing. The proceeds will be used to fund working capital for large, recently-awarded customer contracts, to retire the company’s existing revolver, and for general corporate purposes.
Tennenbaum Capital Partners led the financing, and Morgan Stanley Senior Funding acted as sole lead arranger and bookrunner.
“We are very pleased to secure this $70 million of financing from a lender group led by Tennenbaum Capital Partners,” said Robert Nikl, SGI’s EVP and CFO. “This financing will provide SGI additional flexibility to fund working capital for recently awarded large contracts as well as future customer opportunities.”
The term loan will bear interest at LIBOR plus 9.00% with a LIBOR floor of 1.00%.
SGI offers solutions for computing, data analytics and data management that enable customers to accelerate time to discovery, innovation and profitability.