IMAX renewed and expanded its senior secured revolving credit facility, increasing the company’s borrowing capacity from $300 million to $375 million with an uncommitted accordion feature allowing the company to further expand its borrowing capacity to $515 million or greater. The new facility, which matures in 2030, was arranged in partnership with a syndicate of seven lenders, with Wells Fargo Securities as the sole lead arranger.
The renewed facility replaces the company’s prior credit agreement and includes a reduction in borrowing costs. The facility is designed to provide IMAX with increased financial flexibility to support ongoing operational needs, network expansion, the refinancing of existing debt and other general corporate purposes.
“The renewal of our credit facility reflects the strong, continued confidence in IMAX’s business model, strategic position and long-term growth trajectory,” Rich Gelfond, CEO of IMAX, said. “As we expand our network and content portfolio, this facility provides us with additional flexibility in executing our priorities and optimizing our capital structure. The enhanced scale and efficiency of the facility, combined with recurring cash generated by our global network, positions the company to further capitalize on our momentum to deliver value for shareholders.”
