Boulder Brands gets US $330M new credit facility
Boulder Brands, Inc. sealed a secured credit facility amounting to US $330 million that would be utilized to refinance their current US $280 million secured credit facility. The transaction consist of a five-year revolving credit facility in the amount of US $80 million and a seven-year term loan amounting to US $250 million.
In a statement, Boulder said that the new facility's overall interest rate is below the previous facility by 225 basis points. Thus, the deal would pave way for an annual cash interest savings of up to US $5 million. The figure is based on its outstanding debt immediately before the refinancing.
"We are delighted with the strong demonstration of support and the ongoing confidence in our outlook by the banking community," Boulder's Chief Financial Officer Christine Sacco stated.
"The favorable market environment enabled us to lower the company's overall interest rate and secure less restrictive covenants, which will provide more financial flexibility," Sacco continued.