MoneyGram International Reports Successful Refinancing
- a first lien secured three-year revolving credit facility of
- a first lien secured four-year term loan facility of
- a second lien secured five-year term loan facility of
With the closing of these credit facilities today,
Capital Structure Update
As announced today, Bank of America, N.A. has arranged a second amended and restated first lien credit agreement including a $35 million senior secured three-year revolving credit facility that may be used for revolving credit loans, swingline loans and letters of credit up to an aggregate principal amount of
The interest rate for the revolving credit facility will be LIBOR plus either 6.00% or 5.75% per annum depending on the Company's First Lien Leverage Ratio, and the interest rate for the first lien term loan facility will be LIBOR plus 6.00%. All term loans under the second lien term loan facility bear interest at a rate of 13.00% per annum.
In addition, upon the closing of the second lien term loan facility, the Company issued warrants to the senior secured second lien term lenders exercisable under certain conditions for a total of 5,423,470 shares of the Company's common stock representing approximately 8% of the fully diluted then-outstanding common stock of the Company. In addition, the Company and the warrant holders entered into a registration rights agreement, pursuant to which the Company agreed to provide the warrant holders with certain registration rights with respect to all shares of common stock issuable upon exercise of the warrants, all warrants issued to the lenders under the second lien term loan facility and any securities issued directly or indirectly with respect to such shares of common stock or warrants.
MoneyGram is a global leader in omnichannel money transfer and payment services that enables friends and family to safely, affordably, and conveniently send money for life's daily needs in over 200 countries and territories.
The innovative MoneyGram platform leverages its leading digital and physical network, global financial settlement engine, cloud-based infrastructure with integrated APIs, and its unparalleled compliance program that leads the industry in protecting consumers.
For more information, please visit www.MoneyGram.com.
This communication contains forward-looking statements which are protected as forward-looking statements under the Private Securities Litigation Reform Act of 1995 that are not limited to historical facts, but reflect the Company's current beliefs, expectations or intentions regarding future events. Words such as "may," "will," "could," "should," "expect," "plan," "project," "intend," "anticipate," "believe," "estimate," "predict," "potential," "pursuant," "target," "continue," and similar expressions are intended to identify such forward-looking statements. The statements in this communication that are not historical statements are forward-looking statements within the meaning of the federal securities laws. Specific forward-looking statements include, among others, statements regarding the company's projected results of operations, specific factors expected to impact the company's results of operations, and the expected restructuring and reorganization program results. Forward-looking statements are subject to numerous risks and uncertainties, many of which are beyond the Company's control, which could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: our ability to compete effectively; our ability to maintain key agent or biller relationships, or a reduction in business or transaction volume from these relationships, including our largest agent,
Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the Company's
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