PennantPark extended the term of the its revolving credit facility to May 25, 2021 and the final maturity date to May 25, 2022, adjusted the size of to $445 million and increased the accordion provision up to $750 million if certain conditions are satisfied.

The LIBOR pricing remains the same at LIBOR plus 225 basis points; however, the applicable margin may be reduced by 25 basis points if certain conditions are satisfied.

SunTrust Bank acted as administrative agent. SunTrust Robinson Humphrey and JPMorgan Chase Bank acted as joint lead arrangers and joint book runners, and JPMorgan Chase Bank acted as syndication agent.

“We are pleased with the extension of our credit facility while maintaining our cost, and are delighted to have received continuing support from virtually all of our existing lenders. Our credit facility amendment affords us the flexibility to redeem our 6.25% notes, thereby creating considerable savings in interest expense while maintaining a comfortable level of liquidity,” commented Arthur H. Penn, PennantPark chairman and CEO.

The facility remains secured by substantially all of the assets of the company excluding, among other things, assets held by either PennantPark SBIC or PennantPark SBIC II, which are the company’s small business investment company subsidiaries.

PennantPark Investment is a provider of capital to middle market companies.