Aspen Group, a post-secondary education company, closed a $10 million senior secured term loan with Runway Growth Credit Fund (formerly known as GSV Growth Credit Fund).

Terms of the four-year senior loan include a 10% over 3-month LIBOR per annum interest rate.

The company drew $5 million under the facility at closing, with the remaining $5 million to be drawn following company’s acquisition of United States University. Aspen also intends to use the proceeds from the loan to fund growth initiatives, including further building out the company’s student lifecycle management technology, to invest in additional sales and marketing initiatives, and to continue to improve student experience.

Michael Mathews, chairman and CEO of Aspen, commented, “We are very pleased to have secured this credit facility with Runway Growth Credit Fund. This financing provides ample growth capital necessary to execute on our long-term growth plans and to complete the United States University acquisition following regulatory approval. We’re also extremely pleased that Runway, widely regarded as one of the foremost education industry experts, would choose to become Aspen’s financing partner to support our innovative mission of making higher education affordable again in America.”

Runway Growth Credit Fund specializes in providing capital to rapidly growing companies and is backed by funds managed by Oaktree Capital Management.