Climb Global Solutions, an IT channel company providing sales and distribution solutions for technology vendors, signed an agreement for a five-year, $50 million secured revolving credit facility with JPMorgan Chase. The amount the company may borrow under the revolving credit facility is subject to a borrowing base calculation, with the facility including anaccordion feature to obtain additional lender commitments to increase the facility size up to $70 million in the aggregate. The facility will replace the company’s $20 million secured line of credit with Citibank, which was set to expire in June. Under the new agreement, the interest rate on borrowings will be based on adjusted term SOFR plus 1.5% to 1.75%.
“We believe the new facility is an integral component of our capital structure and provides incremental liquidity as we continue to execute our organic and inorganic growth strategies,” Dale Foster, CEO of Climb Global Solutions, said. “We look forward to working with the team at JPMorgan Chase, as we now have additional capital and flexibility to fund our growth and execute on our strategic initiatives in the years ahead.”
“We are committed to helping our clients succeed at every stage of growth and we are delighted to help Climb with this revolving credit facility,” Alison Harris, relationship executive for middle-market banking and specialized industries at JPMorgan Chase, said. “We look forward to continuing to support Climb as they grow their business and fulfill an important role in the emerging technology software supply chain.”
