RE:Playa2012 new name again my god
They refinanced to save interest costs.... DEBT REFINANCING (ANNOUNCED NOVEMBER 15, 2013)| Pivot’s new facility will consolidate all three existing facilities (total $185M with $115.5M drawn) and will consist of a $10M term loan and a $175M senior secured revolver. The 45-month term loan will bear interest at LIBOR + 10%, and the 5-year revolver will bear interest at LIBOR + 2.0-2.5%, both to commence on the date of closing. The refinancing of Pivot’s existing facilities will reduce interest payments (GMCI: ~$0.5M/year, ~50-150 bps), and provide greater flexibility and scalability to draw funds. Prior to the refinancing, Pivot had agreements with Wells Fargo Bank (WFC-US, Not Rated) and PNC Bank (PNC-US, Not Rated) for $185M in borrowings, which consisted of three separate credit facilities (Exhibit 1). In Q313, Pivot incurred $1.57M in interest expenses.