EVERTEC refinanced its existing credit facilities on Dec. 1, 2022. The new credit facilities consist of an expanded $200 million revolving credit facility and a $415 million term loan A, both of which are due on Dec. 1, 2027. Proceeds from the new term loan and a $50 million draw on the revolving credit facility were used to repay in full the company’s existing term loan A and term loan B.
The interest rate on the term loan and the revolving credit facility will be based on adjusted SOFR (SOFR plus 0.10%) plus an applicable spread which will vary based on Evertec’s leverage ratio. At Evertec’s current leverage ratio the current spread over adjusted SOFR will be 1.50%.
“We are very pleased to have completed our debt refinancing with an expanded revolving facility that we expect will allow us greater flexibility to execute on our strategic imperatives with a continued focus on M&A,” Joaquin Castrillo, CFO of EVERTEC, said.
Truist Securities acted as left lead arranger, administrative agent and collateral agent for the transaction, with Banco Popular de Puerto Rico and Citizens Bank as joint lead arrangers and co-syndication agents, and FirstBank Puerto Rico and Fifth Third Bank as joint lead arrangers and co-documentation agents.