Badger Daylighting and its subsidiaries have increased their senior secured credit facility with a group of five lenders from $145 million to $300 million, with TD Bank as sole bookrunner, co-lead arranger and administrative agent and CIBC as co-lead arranger and syndication agent.
The term of the credit facility has been extended from four years to five years, with a maturity date of September 30, 2024. The credit facility maintains an accordion feature which could provide an additional $150 million of credit capacity. Financial covenants and drawn pricing are consistent with the previous credit facility, with the exception of the Total Debt to EBITDA covenant, which has been increased from 2.75:1 to 4.0:1.
The extension of the credit facility has no impact on Badger’s existing $75 million of senior secured notes, including the financial covenant ratios and the maturity dates. Amortizing principal repayments of $25 million for the senior secured notes are due on January 24, 2020, 2021 and 2022.
“We are pleased to have completed the increase and extension of the credit facility with strong support from our lenders. With the extension of the credit facility, Badger will enhance its financial flexibility to operate the business over the long-term ensuring the required capital to support existing and future growth in working capital requirements and capital expenditures in addition to the management of future debt maturities,” said Darren Yaworsky, vice president, finance and chief financial officer.
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Badger Daylighting a provider of non-destructive excavating services.
