Meet Group amends credit agreement to modify pricing, covenant ratios

By Sarah Lizee

Olympia, Wash., March 8 – Meet Group, Inc. entered into a second amendment to its credit agreement on Wednesday with JPMorgan Chase Bank, NA as administrative agent to revise pricing and modify financial covenants, according to an 8-K filing with the Securities and Exchange Commission.

Under the amendment, interest on the delayed-draw term loan and revolving commitments was changed to Libor plus a spread that ranges from 250 basis points to 350 bps, based on the company’s total leverage ratio.

The commitment fee now ranges from 35 bps to 50 bps, also depending on leverage.

Initial interest is Libor plus 350 bps with a 50 bps commitment fee.

The total leverage ratio cannot be greater than 2 to 1 through Dec. 31. After that, the ratio cannot be greater than 1.5 to 1.

The fixed-charge coverage ratio cannot be less than 1.5 to 1 through June 30, 1.25 to 1 through Sept. 30, 1.1 to 1 through Dec. 31, 1.25 to 1 through June 30, 2019 and 1.5 to 1 after that.

New Hope, Pa.-based Meet Group designs mobile apps for meeting people.

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