Gander Mountain gets $40 million term loan B

By Sara Rosenberg

New York, Dec. 7 - Gander Mountain Co. amended and restated its credit facility in order to get a new $40 million four-year term loan B, according to an 8-K filed with the Securities and Exchange Commission Friday.

Bank of America acted as the lead arranger and agent on the deal that was completed on Dec. 6, with Wells Fargo Foothill the syndication agent and General Electric Capital Corp. as documentation agent.

The term loan B pricing can range from Libor plus 337.5 basis points to 387.5 bps, based on the principal amount outstanding.

Proceeds from the term loan were used to help fund the acquisition of Overton's Holding Co., an internet and catalog marketer of specialty water sports and related marine accessories, for about $70 million.

The amendment and restatement also reduced permitted capital expenditures and replaced former covenants relating to minimum operating cash flow and EBITDA with a minimum excess availability reserve covenant.

The company will not have the ability to exercise the $50 million accordion feature under its revolving credit facility while the term loan B is outstanding.

Gander is a St. Paul, Minn.-based retail network of stores for hunting, fishing, boats, camping, marine and outdoor lifestyle products and services.

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