Quidel gets $120 million revolver

By Jennifer Chiou

New York, Oct. 9 - Quidel Corp. said it entered into a new $120 million five-year senior secured revolving credit facility with a group of four banks.

Banc of America Securities, LLC was the arranger of the credit facility, and U.S. Bank, JPMorgan and Union Bank of California were members of the lender group.

Quidel has the option, under certain conditions, to increase the borrowing capacity under the new facility by an additional $75 million.

Borrowings under the credit facility may be used by Quidel for acquisitions as well as for general corporate purposes.

The new credit facility replaces and expands upon Quidel's previous unused $30 million credit agreement with Bank of America.

Borrowings will bear interest at Libor plus a spread of 150 to 275 basis points depending upon Quidel's leverage ratio.

"We initiated the process to create this expanded credit facility a few months ago in recognition of Quidel's growth opportunities and the best options to fund these opportunities. Now, in spite of an incredibly challenging credit market, we have successfully established this credit facility with attractive pricing," John M. Radak, Quidel's chief financial officer, said in a news release.

"We believe this achievement was only possible given Quidel's solid financial footing and track record."

Quidel is a San Diego-based rapid diagnostic products company.

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