General Finance amends, extends $230 million revolver via Wells Fargo

By Susanna Moon

Chicago, March 28 – General Finance Corp. obtained an amended and extended $230 million senior secured revolving credit facility due March 24, 2022 with a syndicate led by Wells Fargo Bank, NA on Tuesday.

The lenders include East West Bank, CIT Bank, NA, the Private Bank and Trust Co., KeyBank, NA and Bank Hapoalim BM.

The maturity date assumes the company's 8 1/8% senior notes due July 31, 2021 are extended at least 90 days past the scheduled maturity date; otherwise, the facility would mature on March 24, 2021, according to an 8-K filing with the Securities and Exchange Commission.

Along with the closing of the facility, the company said it entered into a separate loan agreement with Great American Capital Partners for a $20 million first-in last-out term loan.

At the closing, borrowing availability under the facility was about $26 million, according to a company announcement.

The facility is secured by substantially all of the rental fleet, inventory and assets of the company’s North American leasing and manufacturing operations and effectively not only finances these operations, but also allows for the funding requirements of the company’s publicly traded 9% series C cumulative redeemable perpetual preferred stock and 8 1/8% senior notes.

“We are very pleased with this refinancing as it provides us with ongoing financial flexibility and nicely positions us for continued growth,” Ronald Valenta, chairman of the board and chief executive officer, said in the company’s press release.

General Finance is a specialty rental services company based in Pasadena, Calif.

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