Calavo Growers gets $90 million revolver, $10 million capex facility

By Wendy Van Sickle

Columbus, Ohio, June 30 – Calavo Growers, Inc. entered into a $90 million revolving credit agreement on June 26 with Wells Fargo Bank, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

The credit agreement also provides for an undrawn capex credit facility of up to $10 million.

The initial proceeds of the revolving loans were used to repay all outstanding amounts under the company’s existing credit facility and to pay related transaction fees and expenses, and following the closing date will be used for working capital and other general corporate purposes.

For one year following the closing date, Calavo may utilize the proceeds of the capex loans to pay a certain percentage of the costs of certain equipment.

The new credit facilities, which mature on June 26, 2028, replace the company’s prior revolving credit facilities that were entered on June 14, 2016.

Borrowings will bear interest at SOFR+10 basis points CSA plus 150 bps for revolving loans and 200 bps for capex loans.

The company’s obligations under the credit agreement are guaranteed by subsidiary Renaissance Food Group, LLC.

Based in Santa Paula, Calif., Calavo packages and distributes avocados and other fruits.

© 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.