Michaels Stores extends $850 million ABL revolver to 2024

By Sarah Lizee

Olympia, Wash., Sept. 4 – Michaels Stores, Inc. amended its $850 million senior secured asset-based revolving loan facility on Friday with Wells Fargo Bank, NA as administrative agent to extend the maturity to Aug. 30, 2024, according to an 8-K filing with the Securities and Exchange Commission.

Wells Fargo, JPMorgan Chase Bank, NA and Bank of America, NA are joint lead arrangers and joint bookrunners, and BofA and JPMorgan are co-syndication agents.

The maturity is subject to an earlier springing maturity date if some of the company’s outstanding debt remains outstanding in principal amount in excess of $100 million and has not been repaid, redeemed, refinanced or cash collateralized or the administrative agent has not taken a reserve as of the 60th day prior to the stated maturity date of that debt.

The financing is subject to a borrowing base.

The company may request $200 million of additional commitments. The facility size could be increased to up to $1.05 billion.

Interest is Libor plus 125 basis points to 150 bps, depending on average daily excess availability.

There is a commitment fee of 20 bps to 25 bps, also depending on average daily excess availability.

Michaels Stores is an Irving, Tex.-based arts & crafts specialty retailer.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.