CAI increases revolver to $475 million, gets $60 million term loan

By Angela McDaniels

Tacoma, Wash., April 16 - CAI International Inc. and Container Applications Ltd. entered into a new term loan and amended their existing loans, according to an 8-K filing with the Securities and Exchange Commission.

The companies amended their revolving credit facility on April 10. Among other things, the amendment increases the commitment level to $475 million from $390 million and allows for a separate credit facility of up to $85 million for CAI Rail Inc.

Bank of America, NA is the administrative agent, and Union Bank of California, NA is the documentation agent.

On Wednesday, Container Applications entered into a $60 million term loan due April 11, 2017 guaranteed by CAI.

SunTrust Bank is the administrative agent, and SunTrust Robinson Humphrey, Inc. is the lead arranger and bookrunner.

The interest rate is Libor plus 250 basis points.

Container Applications must make quarterly amortization payments equal to 1.75% of the outstanding principal amount at the time.

The full $60 million was drawn at closing and was used to repay outstanding amounts under the revolver.

On Thursday, the companies amended their existing term loan. Among other things, the amendment allows for a separate credit facility of up to $85 million for CAI Rail.

ING Bank NV is the administrative agent, and ING Bank NV acted at lead arranger and physical bookrunner.

CAI is a San Francisco-based manager and lessor of intermodal freight containers.

© 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.