Orbcomm completes $250 million five-year term loan, revolver

By Taylor Fox

New York, Dec. 2 – Orbcomm Inc. entered into a $200 million five-year term loan facility and a $50 million revolving credit facility, according to a news release.

The new term loan and revolver bear interest at Libor plus an applicable margin based on Orbcomm’s consolidated net leverage ratio and will mature on Dec. 2, 2025.

Orbcomm also completed the redemption of all of its outstanding 8% senior secured notes and ended its previous $25 million revolver, according to the release.

The proceeds of the term loan, together with $20 million from the new revolver and cash on hand, were used to redeem the outstanding 8% notes at 104, plus interest.

Upon completion of the redemption, no 8% notes remained outstanding.

JPMorgan Chase Bank NA is the administrative agent, lead arranger and joint bookrunner for the syndicated financing.

Orbcomm is a Rochelle Park, N.J.-based internet technology company.

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