Sportsman’s Warehouse lifts revolver to $250 million, extends to 2023

By Marisa Wong

Morgantown, W.Va., May 24 – Sportsman’s Warehouse, Inc., a wholly owned subsidiary of Sportsman’s Warehouse Holdings, Inc., entered into an amended and restated credit agreement on May 23 with Wells Fargo Bank, NA for increased availability under its senior secured revolving credit facility, according to an 8-K filing with the Securities and Exchange Commission.

The credit agreement amends and restates the company’s credit agreement dated May 28, 2010 with Wells Fargo as lender, increasing the amount available to $250 million from $150 million, subject to a borrowing base, and adding a new $40 million term loan.

The maturity date of the revolver was also extended to May 23, 2023.

At closing, the company borrowed $135.4 million under the revolver and used the proceeds from the new term loan and the revolver to repay its prior term loan that had an outstanding principal balance of $134.7 million and was set to mature on Dec. 3, 2020. The prior term loan with Cortland Capital Markets Services LLC as lender was terminated on Wednesday.

The restated revolver will continue to bear interest at the same rate, which is Libor plus 125 basis points to 175 bps, depending on average daily availability.

The new term loan, which matures on May 23, 2023, was issued at par and will bear interest at Libor plus 575 bps.

The term loan requires quarterly principal payments of $2 million beginning on Oct. 31 and continuing up to and including the maturity date.

The outdoor sporting goods retailer is based in Midvale, Utah.

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