P10, a private markets solutions provider, and its subsidiaries, as guarantors, entered into a $250 million credit facility with a syndicate of banks led by JPMorgan Chase Bank and Texas Capital Bank.

The new credit facility provides for a term loan in the amount of $125 million and a revolving commitment in the amount of $125 million. P10 will use the loan proceeds to pay off the outstanding borrowings under its existing credit facility, pay off seller’s notes related to an acquisition and pay transaction-related expenses, as well as for working capital and other general corporate purposes.

“The new credit facility led by JPMorgan Chase Bank and Texas Capital Bank reflects P10’s strong operating model driven by long-term, locked-up capital,” Robert Alpert and Clark Webb, co-CEOs of P10, said in a joint statement. “Our cost of capital will improve, and interest expense will decline meaningfully. We are thrilled to establish a banking relationship with 14 premier financial institutions, including a minority depository institution and a community development financial institution.”

Terms of the new credit facility call for a variable interest rate of approximately 2.25%, which offers savings compared with the 7% interest rate under the company’s previous credit agreement. The credit agreement contains customary financial covenants as well as affirmative and negative covenants customary for transactions of this type.