Quisitive enters $75 million replacement credit facility via BMO

By Marisa Wong

Los Angeles, Aug. 30 – Quisitive Technology Solutions Inc. announced it paid out and retired its existing credit facility with a Canadian Schedule 1 Chartered Bank and entered into a new credit facility with a syndicate led by Bank of Montreal and including Desjardins Capital Markets under a loan agreement dated Aug. 27.

The loan agreement provides for a five-year term loan of $70 million and a revolving loan facility of up to $5 million, both collaterally secured by a first-ranking security interest in all of the present and future undertaking, property and assets of the company and its material subsidiaries, according to a press release.

The term loan has an uncommitted accordion feature that allows the company to request increases in principal up to a maximum amount of $35 million.

Proceeds from the term loan were used to repay and retire the company’s existing debt obligations with Canadian Schedule 1 Chartered Bank, with the balance expected to be used to finance future permitted acquisitions. Proceeds from the revolver are expected to be used to fund working capital requirements.

Interest on the term loan is based on a pricing grid that ranges depending on the company’s total senior debt to EBITDA ratio. Interest on the revolver is consistent with the term loan rates.

Quisitive is a Toronto-based digital technology consulting company.

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